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stocks & shares vs self select funds ISA?

Hi, as per the subject, can someone please tell me whats the difference between the two?

Comments

  • dunstonh
    dunstonh Posts: 121,333 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    edited 9 August 2011 at 11:50AM
    stocks and shares ISA is one of the two types of ISA. The other being cash iSA.

    Self select funds ISA is a bit of a mess as it indicates two different things. Self select usually indicates a platform which is focused (as in target market) on holding direct assets. Such as shares, investment trusts, ETFs etc. Funds ISA tends to be focused on investment funds. Such as Unit Trusts, OEICS, SICAVs etc.

    I am going to guess that "self select funds ISA" is a marketing name rather than a type as it confuses the issue (which marketing people often do).
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • sorcerer
    sorcerer Posts: 878 Forumite
    xyz123 wrote: »
    Hi, as per the subject, can someone please tell me whats the difference between the two?

    That seems a little strange I would have thought it's the same thing, for example in my S&S ISA, I can hold both funds and shares.
  • xyz123
    xyz123 Posts: 1,674 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    sorcerer wrote: »
    That seems a little strange I would have thought it's the same thing, for example in my S&S ISA, I can hold both funds and shares.

    thats what i thought but then i looked at halifax website and got confused!

    http://www.halifax.co.uk/isas/
  • dunstonh
    dunstonh Posts: 121,333 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    sorcerer wrote: »
    That seems a little strange I would have thought it's the same thing, for example in my S&S ISA, I can hold both funds and shares.

    Modern unbundled platforms can hold virtually any quoted stock or fund. Fund supermarkets tend to be funds only. Self Select ISAs tend to only focus on quoted stocks. They are less common nowadays as unbundled platforms that do everything are becoming increasingly common.

    A self select ISA today is going to be a largely obsolete product. I think it would really only be suited to someone with a single small holding.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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