Royal Mail privatisation... Would you?

garybarlowsbeard

Sorry if this has been well and truely covered but if I want to buy sharess today what is the best way to go about it. I don't have a share dealing aaccount. Jumped in yesterday and did it straight through the government site before subsequently learning that sell-on costs would be high.

If that's the easiest way I dont mind losing out a little (read I could transfer to another broker for a tenner then get the lower fees so losing a tenner or so doesn't bother me).

Also, which is the "best" option to tick with regards the share certificate if I intend to (probably) sell the shares immediately?

Thanks in advance.

Mr_Benn

I cant get thru to my stockbroker to find out how I buy thru them (shareprice). If I buy thru the official Royal Mail website, I realise its free to buy, but read its £20+ to sell. ?

May I aslo ask if you buy thru the Royal Mail website, how do you actually sell the shares ? Do you have to create an account online with them ?

Thanks.

latecomer

sebtomato wrote: »

If I am not mistaken, the government will retain 30% shares, and only 30% of the available shares will be sold to individuals.

With dividends pretty much guaranteed in 6 months time to be 6 or 7%, I think the vast majority of professional investors will keep the shares at least until then.

Maybe 50% of the private investors will sell straight away, but that's quite a small number (50% of 30% of 70%, or 10% of the total number of shares)

Ok - I meant most public investors. Those who have never trades shares before. I'm not convinced about the long term prospects for the business as it stands today but may keep a small percentage of the allocation if I get enough to make it worth while.

latecomer

Mr_Benn wrote: »

I cant get thru to my stockbroker to find out how I buy thru them (shareprice). If I buy thru the official Royal Mail website, I realise its free to buy, but read its £20+ to sell. ?

May I aslo ask if you buy thru the Royal Mail website, how do you actually sell the shares ? Do you have to create an account online with them ?

Thanks.

There is an extensive FAQ on the Royal Mail shares website.......

sebtomato

Mr_Benn wrote: »

May I aslo ask if you buy thru the Royal Mail website, how do you actually sell the shares ? Do you have to create an account online with them ?

Thanks.

Once/if you get your shares, you will be provided with online details for selling them, or will be able to do by phone, with a higher cost.

sebtomato

garybarlowsbeard wrote: »

If that's the easiest way I dont mind losing out a little (read I could transfer to another broker for a tenner then get the lower fees so losing a tenner or so doesn't bother me).

Also, which is the "best" option to tick with regards the share certificate if I intend to (probably) sell the shares immediately?

Thanks in advance.

Best option for you if you don't already have an account to deal shares is to use the official website and buy from there. Yes, the selling fees will be higher than elsewhere, but I think you are out of time now.

AdrianC

Mr_Benn wrote: »

I cant get thru to my stockbroker to find out how I buy thru them (shareprice). If I buy thru the official Royal Mail website, I realise its free to buy, but read its £20+ to sell. ?

How you buy them doesn't affect how you sell them.

latecomer

If you buy from an intermediary then you can sell them quicker:

From the official FAQ:

What are the benefits of applying through an Intermediary?

• After the Offer, you may be able to deal in the shares more quickly if you apply through an Intermediary.

Glen_Clark

IronWolf wrote: »

I think a lot of people are looking for a quick buck, and not really thinking about the underlying business.

I guess so. And New Labour has been trying to make political capital by claiming the Tories (ignoring the fact that Vince Cable s not a Tory) are selling public assets on the cheap, like they did over the privatized utilities. So people who haven't read the prospectus are expecting a similar windfall from RM.
This fails to recognize that all the good stuff has already been sold off. Now we are getting down to the dregs.

xyz123

am not taking a punt but just keenly following the news. most people think share price will increase when shares start trading. out of interest what will be the best time to sell? do people wait couple of days when any such previous situation (not government but an oversubscribed IPO) has risen or does the share price return to normal levels before dividend is paid out?