Bed and ISA

Murmansk

I've got some money in Vanguard LifeStrategy and in April I'll want put another £20K of what's already in there in my ISA account with Vanguard.

Will they be able to do that for me or will I have to sell £20K worth of my fund then put it back again via my ISA account?

As an aside, and related to my other thread re Vanguard from a day or two ago, my holding seems to have gone up in value by £1,400 in the last month or so - presumably I need to do my selling to increase my ISA at a time when it's "up" rather than down? But then again, if I were to be upping my ISA with FRESH MONEY it'd be good to do it when the value is "down"?

Alexland

The funds will need selling to cash (and any capital gains possibility considered) as under HMRC rules only cash can be contributed into an ISA wrapper. If you are selling and buying it doesn't really matter when you do it the risk or opportunity of being out the market is about the same. They might be able to move the cash between accounts if you ask them to save cycling it through your bank.

People say don't time the market but I find it makes me feel better doing transfers when the market is high and buying units when valuations are lower than previously.

Eco_Miser

You have to sell and rebuy. If both the unwrapped funds and your ISA are with the same platform, they may be willing to take both transactions as a single instruction with effectively no time out of the market, and possibly at reduced cost.

chockydavid1983

Are there any platforms that are known to do this as a single transaction? Also, any problems with any particular platform doing this in general? I'll probably be in a position next tax year where I'll have extra cash to invest above the ISA limit.

Tom99

chockydavid1983 wrote: »

Are there any platforms that are known to do this as a single transaction? Also, any problems with any particular platform doing this in general? I'll probably be in a position next tax year where I'll have extra cash to invest above the ISA limit.

I have done that with the Halifax but you have to do it over the phone. At the time they only charged one dealing fee not two.

Imnoexpert_2

Interactive investor don’t.

But no surprise there.