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  • FIRST POST
    • CaptainWales
    • By CaptainWales 15th Oct 16, 7:45 PM
    • 18Posts
    • 0Thanks
    CaptainWales
    HSBC Sharedealing
    • #1
    • 15th Oct 16, 7:45 PM
    HSBC Sharedealing 15th Oct 16 at 7:45 PM
    I am interested in buyer shares myself but have never done this before - would hsbc sharedealing be a good place to start? Their charges seem reasonable.
Page 1
    • Lakeuk
    • By Lakeuk 15th Oct 16, 9:39 PM
    • 1,048 Posts
    • 551 Thanks
    Lakeuk
    • #2
    • 15th Oct 16, 9:39 PM
    • #2
    • 15th Oct 16, 9:39 PM
    There are cheaper brokers out there -

    Broker comparison as at Dec 2015
    • Thrugelmir
    • By Thrugelmir 15th Oct 16, 10:38 PM
    • 51,336 Posts
    • 43,184 Thanks
    Thrugelmir
    • #3
    • 15th Oct 16, 10:38 PM
    • #3
    • 15th Oct 16, 10:38 PM
    Personally I use x-o at £5.95p a trade. No frills service and website. Excellent customer support.
    “A man is rich who lives upon what he has. A man is poor who lives upon what is coming. A prudent man lives within his income, and saves against ‘a rainy day’.”
    • Pincher
    • By Pincher 15th Oct 16, 11:24 PM
    • 5,861 Posts
    • 2,145 Thanks
    Pincher
    • #4
    • 15th Oct 16, 11:24 PM
    • #4
    • 15th Oct 16, 11:24 PM
    I am using InvestDirect, not the Plus version.

    It's antiquated and basic, and I don't see how they can be making money. Started charging annual fee £42 (= £10.50 x 4) this year, was free before, so probably struggling.

    Amusingly, I am holding a large tranche of HSBC shares in InvestDirect. Other than the initial £10.50 trading fee, and the £1 PTM Levy, there are no custodian charges.

    Assuming I have 10,000 shares of HSBA, which pays 41p a share, which is £4,100 a year. 10,000 shares at £6.20 is £62,000, so it's like depositing £62,000 and getting interest at 6.6%. Even with the £42 annual fee, it's still 6.5%. I actually bought the shares at £4.25, so the £4,100 dividend is more like 9.5% interest.

    The upshot is, I no longer need to keep £50k with HSBC to qualify for the Premier account.

    So, on an ongoing basis, if I don't sell the shares, they will take £42 annual fee, but I will get the Premier account for free, and they will PAY ME 9.5% dividend, on which I will pay 7.5% dividend tax, INSTEAD of 20% income tax (for interest).

    I borrowed £3,000 on a long term 0% BT (credit card) deal from TescoBank, which I put into the TescoBank 3% interest current account. This HSBC set up is on a whole other level, though strictly speaking it's not stoozing.

    So, it's not the best dealing account you can have, but if you want irony and comedy, it's right up my sick sense of humour. Milking HSBC using their own dealing account, who's the cash cow now!
    What happens if you push this button?
    • Glen Clark
    • By Glen Clark 16th Oct 16, 12:31 PM
    • 3,456 Posts
    • 2,499 Thanks
    Glen Clark
    • #5
    • 16th Oct 16, 12:31 PM
    • #5
    • 16th Oct 16, 12:31 PM
    who's the cash cow now!
    Originally posted by Pincher
    That depends how much longer HSBC can maintain its dividend.
    For society to function well, people generally need to feel that they have a fair chance of success through their ability and efforts. The more entrenched hereditary elites we have, the less likely people are to feel that way
    • Glen Clark
    • By Glen Clark 16th Oct 16, 12:32 PM
    • 3,456 Posts
    • 2,499 Thanks
    Glen Clark
    • #6
    • 16th Oct 16, 12:32 PM
    • #6
    • 16th Oct 16, 12:32 PM
    Personally I use x-o at £5.95p a trade. No frills service and website. Excellent customer support.
    Originally posted by Thrugelmir
    Another vote for x-o
    For society to function well, people generally need to feel that they have a fair chance of success through their ability and efforts. The more entrenched hereditary elites we have, the less likely people are to feel that way
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