whys Sea limited not available anymore
It is for me. It’s not available in an Isa like many other ADRs though.
It’s not the ADR that is the issue, it’s where the underlying stock trades.
Correct. We would be able to hold Nestlé ADR in isa as the original stock trades on Swiss exchange. Companies where the main stock is trading on non-recognised exchanges can’t be held in an ISA, even if the ADR is on the NYSE.
Edit: these are the rules on ISAs and not some arbitrary rule set by t212, for anyone who was going to complain
Thanks for the clarification. Didn’t mean to suggest that ADRs are the problem themselves, merely that ADRs are often un-Isa-able, think it’s a handy rule of thumb.
yeah, i was surprised to not see it in there last night when i was doing my monthly review of investments. so, are people saying it being available in the 1st instance was a mistake?
It should be available in invest, it was a mistake that it was visible for ISA and there’s a different thread where they talk about it and the implications and how they are remedying it for people who bought into their ISA ones that should not have been available
I think the presumption on 212’s side was that Sea’s underlying stock trades on the SGX, a HMRC recognised exchange, but it doesn’t.
sounds like someone needs a regulatory and compliance officer
Or at least might need a new one after this
If someone bought SEA Limted ARD in their ISA without realising this and now sold it on Trading212, will there be tax consequences to that individual who bought it without realising of its lack of ISA eligibility?
It depends on your tax situation and your CGT allowance. But “usually” doesn’t impact your tax unless you have massive positions and breach CGT allowances.
T212 will undertake what is called an “ISA Repair” to remove ineligible securities and return the ISA to a “compliant” state. They then need to tell you that they have done this exercise. You, personally, now need to account for the trading of these securities as if they were never in the ISA. Unless you’ve had an ISA for years and put in £20k for many years and put all your eggs in one basket with SEA then any profit you make is unlikely to have been in excess of the £12300 CGT exemption you have this year.
So the answer is yes, but kinda no.
If T212 think this is now ineligible they need to undertake an ISA repair and tell you about it… let’s see if they do !!!
ISA rules if you’re interested…
Thanks for the response. I believe made a grand total of around £7 after selling my SE single stock! I don’t have any other significant investments outside my ISA so I won’t be going over that capital gains limit with the £7. Is it safe to say that should I be under the capital gains tax limit of £12,300 the just to forget about it? Thanks
But don’t overlook the fact this looks like T212s mistake. Make sure they correct it and tell you what they’ve done and why.