switching funds and cgt

andiogris

Hi,

I currently hold a couple of thousand pounds in a hsbc ftse all share tracker outside of an isa and was thinking of switching them to the equivalent vanguard tracker by selling the former and buying the latter on the same day.

I did a bit of research and found out that you are not meant to buy the same investment for 30 days after selling. However, I also read somewhere that although the two funds mentioned above track essentially the same assets, because they are from two different providers they are different investments for cgt purposes. Is that correct?

Thanks,

andiogris

qpop

With a couple of thousand pounds I can't see it being an issue; your CGT tax-free allowance per annum is £10,600, and that's on profits.

They're counted as different investments, so it doesn't matter how quickly you sell and re-buy, it's counted as a profit/loss.