Should I put my remaining shareholding in an ISA?

Supersaint13

Wonder if anyone could help me with this.

I currently have about 14000 LloydsTSB shares held in an ISA with Equiniti, and for which they charge me a fee of £24 p.a.

I have a further 13000 or so LTSB shares outside of the ISA, and am wondering whether it would be good sense to transfer these into it?

Whilst the current share price means that they would all fit in within my annual allowance, the charges would more or less double, and as no dividends are currently paid from these shares, it does seem as though I'm paying Equiniti ( a company I really don't like!) their charges for very little, if anything.

Should I take the opportunity to get them all within the ISA and pay the charges, or leave things as they are? Any suggestions please?

Thanks

gkerr4

i'm confused as to why you pay fees on your isa? these are regular shares yes? not funds?

why don't you move all to an ISA provider who doesn't charge fee's?

Supersaint13

Thanks gkerr - fees are payable as this is a share ISA, rather than a cash one. In effect, they are administration fees for managing the portfolio, as opposed to a cash ISA, where of course no fees are payable.

westy22

fees are payable as this is a share ISA

There are several providers who do not charge any administration or holding fees on S&S ISAs (at the moment!)

grey_gym_sock

the only advantages of having your lloyds shares in an ISA are (a) you save higher rate tax on dividends, if you are or become a higher rate tax payer and lloyds pay any dividends; and (b) you avoid any capital gains tax if/when you sell them for a profit - which is difficult to be sure about, though the £10,600 annual exemption covers mosts ppl's gains.

you have to weigh up whether those potential savings are worth paying the extra costs (if any) for holding an ISA.

to put more shares in the ISA, there will be costs, because you have to sell them and buy them back to do that.

to keep the shares already in the ISA there, not necessarily, as westy22 says.

i bet that equinti will charge you to leave their ISA, whether by transferring to another ISA (i.e. 1 with no on-going fees), or by taking the shares out of the ISA as certificates (which does not involve selling and buying back). but i expect it will be worth your while to do 1 of those, to avoid equinti's on-going charges. which makes more sense depends on your circumstances.

gkerr4

Supersaint13 wrote: »

Thanks gkerr - fees are payable as this is a share ISA, rather than a cash one. In effect, they are administration fees for managing the portfolio, as opposed to a cash ISA, where of course no fees are payable.

i understand that - i have a number of shares isa's - I don't pay fees on any of them.

Mine are all self-select - as it sounds yours are as they only hold regular shares. I could understand it if you had funds in the ISA as they do attract a management fee - but a regularr S&S isa should not.

Biggles

gkerr4 wrote: »

i understand that - i have a number of shares isa's - I don't pay fees on any of them.

Mine are all self-select - as it sounds yours are as they only hold regular shares. I could understand it if you had funds in the ISA as they do attract a management fee - but a regularr S&S isa should not.

It varies considerably from one execution-only broker to another; about half charge, half don't.
http://the-international-investor.com/comparison-tables/cheapest-uk-stock-brokers

Aletank

Have a look at http://www.tradersown.co.uk/ for no ISA fees