H&L or X-O for S&S ISA

zayn

Hi All,
I opened a H&L S&S ISA in Feb 2013, but never used it. I have Share dealing account with X-O and would like to open a new S&S ISA with them too. I have 10K available to add and would be looking to top up through out the year. What i would like to do is minimise my provider cost's. Can anyone please advise if this is sensible as i would like to use this as a investment for a house deposit in the next 6 months to one year..

Thank you

Perelandra

If you're wanting to have access to the funds within the next 6-12 months, then investments may not be the ideal choice- most seem to recommend only investing money if you won't need it for at least 5, ideally 10 years.


x-o would be cheaper than HL for a S&S ISA, but you'd only be able to hold shares- no funds (other than ETFs) in it.

TCA

That's usually considered too short a timeframe for a stock market investment. You run the risk of ending up with less capital than you started with. A cash ISA, or these days, a higher paying savings account might be more suitable. Unless you like a gamble!

Reaper

I agree 6 months is really too short a period to consider investing, particularly if you want the shares to overcome the bid/offer spread, stamp duty and dealing fees and start to make a profit.

I'm not sure what the HL fees are but XO also charge you £50 when you close your ISA so does not favour a short term investment.

zayn

Thank you. I am only looking at shares only and roughly 5 positions in a month. The cost's per trade on X-O seem to be the cheapest around..

Perelandra wrote: »

If you're wanting to have access to the funds within the next 6-12 months, then investments may not be the ideal choice- most seem to recommend only investing money if you won't need it for at least 5, ideally 10 years.


x-o would be cheaper than HL for a S&S ISA, but you'd only be able to hold shares- no funds (other than ETFs) in it.

zayn

X-O have said i cannot open another ISA as it is only one per year ? Is this correct ?

TCA

February 2013 is last tax year.

jimjames

If you have an HL account that is unused then I'd suggest closing that asap as they seem to be implementing fees for closing accounts shortly.

zayn

Done Thank you... :beer:

jimjames wrote: »

If you have an HL account that is unused then I'd suggest closing that asap as they seem to be implementing fees for closing accounts shortly.