Its really i had nio in my isa then i had sell my position because it was not isa compliant and it is so it nean i would have to sell then buy in my isa at a high price again
Same, i had it at $5.
I had it at .88 really annoyed when it happened
There are other stocks like this on Trading212.
Someone in Investment Operations/Back office Data needs to try harder!
Time to spend some money on more staff or 3rd party services to monitor this???
When we had an independent community member here whoās sole job it was to produce the data that brokers require to implement such stocks, even he couldnāt always conclusively say if something was or wasnāt applicable to be held in an ISA.
Itās not a simple task, but if you have a list that youāve carefully curated and checked independently (not just used a different broker and hoped theyāre right), then post it - Iām sure 212 would be only too happy to receive it.
If T212 are happy to build there business on the random diatribes of community members rather than a paid-for/professional service or in-house/expert/compliance/legal opinion - Iād recommend running away.
Good on whomever you refer to as the independent community member who used to perform such computations but Iād still rather be filed with a sense that T212 take there business, our money and the ISA Regulations seriously.
That said - whereās this community member? Being them back. Pay them.
Youāre missing the point. Itās not prescriptive or as easy as you think. 212 have a risk team that looks after this and like all brokers in the UK have got it wrong before so are cautious about adding.
This is what heād say.
The ISA eligibility guidelines are clear as mud to be fair.
I do not for one second mean to suggest that ISA rules are easy or clear.
Yet (following the NIO example) are a bunch of other āChineseā ADRs finding a home on Hong Kong Exchange (an ISA allowed Exchange) that T212 has not made available.
In the case of Weibo it was listed out of Hong Kong in December 2021. That should be long enough to pick up the change.
By my understanding if the Owner/Primary stock is allowed in an ISA then the ADR below it is also allowed. ie. NIO.
So WB should be allowed in my ISA now (since Dec 21 actually) too ??!
Its an ever moving target though right, with no golden source that maintains a list of ISA eligibility as far as Iām aware. so very manual in nature imo.
My understanding is it relates to the primary exchange where a security is listed, not any secondary listing, and the primary exchange has to be in the accepted list. Thereās a couple other nuances but thats generally it.
So nio is back in isa dose that mean trading 212 is going to cap or block it when its in there best interest .
Not a great first post.
Why would it be in a brokers interest to block you trading a non gbp stock in a gbp isa account, when they take a 0.15% FX fee?
End of day, all brokers want you to trade, but have to comply with all the local regulatory and compliance requirements. If you are blocked from buying / selling, then there is likely a valid reason for this.
Small cap stocks that have irregular trading activity, suspected manipulation of the market and temporary suspension are generally coming from the regulator, not the broker. The only thing that could make a broker suspend trading, is they are liable for funding requirements etc for trading, although it is your own funds, if you are funding a buy from a sell, there are capital requirements set out by the regulator that the broker must comply with to ensure markets do not fail.
That 0.15% aināt profit making tho. FX is expensive. But point still stand. The brokersā interest is to have you vested, even in ISA accounts which arenāt money-making.
Why is Weibo still not made available in an ISA?
Hey, @haggis_mince. Weibo (WB) is now available for trading in ISA.
Ha! Great! So I was right. I think yu have a few moreā¦
@Momchil.G @Michael.M @Team212
Hi, I just want to make sure this is correct before ābreakingā my ISA
What prompted these stocks to become ISA available? Was it some sort of legislation change? A secondary listing(which lists ADRs again and not ordinary shares!) on HKEX changes nothing.
Because HMRC has different rules for:
- ordinary shares
- depository receipts
- (A)merican depository receipts ADR/ADS
the problem with almost all chinese stocks listed on NYSE is/was they were ADR(S)s. And for an ADR to be ISA eligible the underlying āstockā has to be listed on a recognised exchange. NIO listing on HKEX is a secondary listing of primary market: NYSE. So there are no ordinary stocks of NIO listed anywhere on any recognised stock exchange.
If the investor holds an American depositary shares or American depositary receipt that is traded on a US stock exchange the underlying investment is the shares represented by the American depositary shares or American depositary receipt. If these shares are officially listed on a recognised stock exchange, the American depositary shares or American depositary receipt will be a qualifying investment for stocks and shares ISA.
ā¦If these shares are officially listed on a recognised stock exchangeā¦
these shares are not listed anywhere but still owned by Cayman Islands incorporated company.
If you are confident that these are ISA eligible can you point me to which recognised stock exchange actual NIO shares are listed (because as far as I know there arenāt any)
edit: Another kick in the teeth line from legistation:
It is irrelevant for ISA purposes whether the depository receipt is listed or traded on a recognised stock exchange.
So in our nio example, NYSE:NIO is an ADR, HKEX:9866 is a secondary listing for the ADR in NYSE. These depository receipts being listed in recognised NYSE, and HKEX (main board only) in HMRC terms is: āirrelevantā
edit2: Iāve also forwarded a similar query to HL pending response
itās not that bad actually, the real problem is how/where companies incorporate and go public is painful to track.
This is mostly correct but, the listing you pointed in HKEX is not an āordinary shareā. Even in the link youāve provided it is a āsecondary listingā for the primary āNASDAQā in which it still is an ADR.
Iād make sure before buying this and breaking your ISA. Keep in mind despite T212 being your ISA manager, legally you canāt say āhey they broke my ISA so itās still tax freeā, until they repair it.(if they can)
Iām sure the guys at Trading212 know what they are doing. They would have got the go-ahead legally to get this added to an ISA.