Anyone tried Share Dealing?

Alexland

If the money has been hard earned and hard saved even more reason not to fritter it away in a high percentage of transaction fees and stamp duty.

Even if you only trade one holding for £750 that's £12.50 to buy, £3.75 stamp duty and £12.50 to sell so you have committed to a cost of nearly 4% already. Congratulations you now have a highly volatile interest in a single company that even the internal management don't honestly know how it will perform.

I did this when I was younger and it's stupid. At least if you make a loss you stop quickly but it's worse when you randomly make a profit as it re-enforces that the strategy is working and you go on to make greater losses. It's a shame as the losses scare people away and it deters them from making proper investments.

I have worked in and with big listed companies and they are a mess. Even those an outsider would consider swans are pedaling madly (often in different directions) trying to keep afloat. What skill do you have above anyone else in the industry to pick the one great stock?

You don't have to make mistakes if you can learn from the experiences of others.

However in the spirit of being helpful against this crazy activity if you sign up to Halifax Share Dealing special offer emails and you can usually trade once a month for a short window at a reduced price of £3.95.

http://www.halifax.co.uk/sharedealing/events/

Also if you are considering trading overseas stocks there are additional steps:

https://www.halifax.co.uk/sharedealing/investment-options/international-shares/Default.asp

Alex

Vortigern

MrMrMr wrote: »

So would I have to tell the taxman every sale I do if there is a profit? How do you do this?

The taxman is unlikely to be interested at your proposed level of investment. You'd have to make a gain exceeding £11,300 to be liable for CGT, or receive dividends exceeding £5,000*pa for income tax liability. (*to reduce to £2,000)

Regarding dividends how often are these given, it is a standard, or once a year, continuous, so if buy and they give dividends you benefit straight away?

Some are quarterly, some pay twice per year, some annual, some don't pay dividends at all.

I just thought if buying Apple at £120 would only get say 8 shares for £1000, just wondering if better to get more shares from another company to spread better or not?

Don't buy shares in any single company. You spread your risk by buying funds. These are collective investments that pool investors' cash and invest in multiple companies. Do some research!

jimjames

MrMrMr wrote: »

I knew the negative comments but this is an account/money that has been saved and just to try out almost.

Before you get started do you already have an emergency fund of 3-6 months earnings/expenses? Do you already have a S&S ISA with other investments? Generally anyone investing would already have those things in place before starting to invest in individual shares. The general consensus is that trading is an easy way to lose money, long term buy and hold is far more successful.