Sharesave Maturity - What would you do?

torizia

Hi,
I understand that none of you can predict the future (!) but I'm hoping some of you might have experience of sharesave maturity and could let me know your thoughts...
I have a 3 year sharescheme due to mature on 1st June. We have the choice of selling the shares immediately, having the shares or taking the cash. As the current share price is above the purchase price and I need the money, I will be going with the first option.
However, we can choose to take this option on any week over the next 6 months. Each week, the shares will be sold in batches and the average share price paid to all shareholders. I need the money fairly soon (we are due to move house next week) so will either be in the first batch or in the following couple of weeks.
My main question is, do you think I should put in my instruction now and go as part of the first batch, or wait a couple of weeks? I know a huge number of people will be in the first batch, and don't know if this will have a detrimental effect on the share price (and if so, whether this is likely to be more of an issue for the first batch or subsequent ones).
What would you do??
Thanks for reading :j

quotememiserable

Well, you haven't told us what company it is, but daily share volumes are pretty high and its unlikely to a significant impact. There are many factors that can affect share price - if you want the money I suggest you take it when you want it.

torizia

Oops sorry - it's Lloyds Banking Group. The option price is about 47p and they're currently sitting at around 62p.

Thanks for your comments - I was assuming that it would take a hit but maybe it won't really be impacted

2010

If you sell immediately as part of a batch you don`t know how much you`ll actually get per share.

Taking the cash is not an option as the shares currently are worth more.

I, personally, would take the shares and then sell when you know the exact price you`re getting.

Vortigern

2010 wrote: »

If you sell immediately as part of a batch you don`t know how much you`ll actually get per share.

I, personally, would take the shares and then sell when you know the exact price you`re getting.

That seems sensible, but also consider the cost of sale. Would it be cheaper to sell as part of a batch sale by the sharesave scheme - or would you take the shares, move them to a broker, then sell?

torizia

Vortigern wrote: »

That seems sensible, but also consider the cost of sale. Would it be cheaper to sell as part of a batch sale by the sharesave scheme - or would you take the shares, move them to a broker, then sell?

The sharescheme is charging a fee of 0.5% to sell the shares, which I believe is more expensive than if I transferred the money into my sharedealing account and sold from there. However, the form is thoroughly confusing and I'm considering going against the MSE ethos and choosing the least stressful method (I'm currently under huge amounts of stress with the house move and don't think I can handle much more!)

JohnRo

I want to know if you can actually do what your avatar shows you doing

2010

Vortigern wrote: »

That seems sensible, but also consider the cost of sale. Would it be cheaper to sell as part of a batch sale by the sharesave scheme - or would you take the shares, move them to a broker, then sell?

Open a share dealing account with the Halifax and transfer the shares to them, which they hold in a "nominee account" for instant electronic trading.
They charge £11-95 per deal.(no yearly or any other fees)
All you do is login to your account ask for a quote and you have 15 seconds to deal or no deal.

http://www.halifax.co.uk/sharedealing/our-accounts/share-dealing-account/

grey_gym_sock

JohnRo wrote: »

I want to know if you can actually do what your avatar shows you doing

... while filling in a sharesave form.

Jegersmart

2010 wrote: »

Open a share dealing account with the Halifax and transfer the shares to them, which they hold in a "nominee account" for instant electronic trading.
They charge £11-95 per deal.(no yearly or any other fees)
All you do is login to your account ask for a quote and you have 15 seconds to deal or no deal.

http://www.halifax.co.uk/sharedealing/our-accounts/share-dealing-account/

X-O charge £5.95 per deal.

J

gadgetmind

I can't see the volume involved in share save moving LLOY in any meaningful way.

However, that 0.5% is pretty stiff so you might be better getting a certificate, lodging it online, and then selling yourself.

No one knows which way the shares will move, so it's your choice. I can't see the price increasing much until they actually declare a dividend on the ordinaries.