Halifax Share Dealing SPEED

yumiami

Hi, I am thinking to move my SIPP from Hargreave Lansdown to Halifax Share Dealing. (with Obvious reason being HL charge higher fee).

When I buy/sell the Unit Trust Fund at Hargreave, it usually dealt within the same day. For example - popular fund like Fundsmith Equity fund.

Does anyone use Halifax Share Dealing and want to share the speed of the selling/buying Funds?

Thank you in advance.

Audaxer

I've found with HSD when you buy a fund it takes a couple of days. I would imagine HL would be faster with better customer service, but you are paying extra for that. If/when your SIPP in drawdown I think HL would be the better option as there are no drawdown fees.

coyrls

yumiami wrote: »

Hi, I am thinking to move my SIPP from Hargreave Lansdown to Halifax Share Dealing. (with Obvious reason being HL charge higher fee).

When I buy/sell the Unit Trust Fund at Hargreave, it usually dealt within the same day. For example - popular fund like Fundsmith Equity fund.

Does anyone use Halifax Share Dealing and want to share the speed of the selling/buying Funds?

Thank you in advance.

See: https://www.halifax.co.uk/sharedealing/investment-options/funds/

Funds are traded in a different way to shares. Funds are generally priced once each day at a time called the Assured Valuation Point (AVP). The price per unit for the fund will be set by the valuation of the assets.

For most funds, if you place your order before 11.15 am, the trade will be placed at 12 noon. Any order placed after 11.15 am would not be placed with the Fund Manager until the following working day at 12 noon.

Note, their example only applies if the valuation point is 12:00, which it will be for lots of funds but not for all (e.g. Vanguard).

The valuation point for Fundsmith Equity is 12 noon.

yumiami

Thank you Audaxer,
In this case, will the price of the fund be based on the date you instructed? or the price 2-3 day after?

Currently paying £900+ for the HL fee, so moving to Halifax seems to make sense even if they charge £180 for drawdown...

yumiami

Thank you coyrls, Halifax dealing timing seems to be similar to HL's.

Audaxer

yumiami wrote: »

Thank you Audaxer,
In this case, will the price of the fund be based on the date you instructed? or the price 2-3 day after?

I've found with HSD that it is the price at either the end of the day after the order is placed, or sometimes the day after that.

ValiantSon

If you are considering Halifax, is there a reason why you wouldn't use iWeb (who are essentially the same company and platform), but only charge £5 per trade?

EdSwippet

Audaxer wrote: »

I've found with HSD that it is the price at either the end of the day after the order is placed, or sometimes the day after that.

That shouldn't be the case if you placed your order well before the Valuation Point.

I have found that some fund groups can be slower to update the platform than others. I use iWeb, and when I buy or sell one of HSBC's tracker funds, the transaction always shows up as executed with a known price the next day.

If I do the same with a Vanguard tracker fund it is normally the day after next before that trade shows up as executed. However, the price on the Vanguard trade, when it does finally appear on the platform, is always the right one for the day on which I placed the order, and not some later one.

Alexland

I have only ever placed one fund buy order in my HSD SIPP at around 9am and it was showing as in the account the next morning at the latest price.

ValiantSon wrote: »

If you are considering Halifax, is there a reason why you wouldn't use iWeb (who are essentially the same company and platform), but only charge £5 per trade?

My SIPP is with HSD precisely because the high trade cost means I am not tempted to tinker with it too often. It's a zombie account where I just contribute £12 per month to, with tax relief, cover the £180 fee.

ValiantSon

Alexland wrote: »

I have only ever placed one fund buy order in my HSD SIPP at around 9am and it was showing as in the account the next morning at the latest price.



My SIPP is with HSD precisely because the high trade cost means I am not tempted to tinker with it too often. It's a zombie account where I just contribute £12 per month to, with tax relief, cover the £180 fee.

That's obviously a specific benefit to you because you feel the dealing fee is a disincentive to tinker, but otherwise I see no reason to use HSD over iWeb when HSD's fees are more expensive.

Alexland

ValiantSon wrote: »

That's obviously a specific benefit to you because you feel the dealing fee is a disincentive to tinker, but otherwise I see no reason to to use HSD over iWeb when HSD's fees are more expensive.

If I was investing regularly with HSD then the £2 per trade is fairly attractive.