Control Start Of Fidelity Investment

Joey122

I m thinking of investing 3K in a fund - What I want to know is can I send a cheque to Fidelity and then a few days later when markets have moved lower instruct them to buy my units?

Do I have control over when the investment starts or is it left up to luck that when they process the cheque you get whatever proce prevails?

Thanks

Debt_Free_Chick

Why don't you just buy online on a day when you like the price?

Or invest in a cash fund on day one, but then switch to other funds when you like?

cloud_dog

Joey122 wrote: »

I m thinking of investing 3K in a fund - What I want to know is can I send a cheque to Fidelity and then a few days later when markets have moved lower instruct them to buy my units?

Do I have control over when the investment starts or is it left up to luck that when they process the cheque you get whatever proce prevails?

Thanks

The best you could do is to place your investments in a money type fund, similar to holding cash but is a cash fund paying an amount of interest (yeild) on the money. Note, not sure if the rules for this type of investment within an ISA have been tightened up.

Anyway, if this is available then you could waint until you are happy to make an investment in an actual fund and switch your investment from one fund in to another. Y

ou will still suffer a days delay (possibly more depending on how you have to notify them of the switch)

cloud_dog

egamar

1. I suggest you don't buy direct from Fidelity but through a discount broker where the initial charge may be much lower and perhaps even the annual charge too. This is absolutely legitimate. One discount broker I can recommend is Allenbridge, another is TorquilClarke. A lot of folks speak highly of Hargreaves Landsowne, but I have no personal experience with them. .

2. Be careful in investing in a "cash" find with the intention of switching out into funds. Fidelity have no 'cash' fund that can do this (due to complex ISA rules). CoFunds do, but it pays 2.5% BELOW base. Fidelity have 'near' cash funds but they too are subject to market variations. (BTW I checked this very specific point with Fidelity just last week as I wanted to take some profits from some funds which are at 5 year highs).

3. Remember, you buy today at prices set (generally) tomorrow. Don't sweat the small stuff: make sure you've chosen the right funds, got a damn-good up front discount from a broker and use your debit card to pay (make sure they money's in your account first, obviously!)

4. Remember, when you sell, you'll sell today at prices that will be set (generally) tomorrow .... so you do not ever have 'fine control' over prices and timing, you have to let time even these things out.

Joey122

Thanks egamar,

Have you got a link to the near cash fund? I might like to keep my money in cash for the next 6 months but want to make sure that this is done by using my 4K allowance which I have for stocks and shares.

What market variations are they subject too by the way?

Thanks

egamar

Joey122 wrote: »

Thanks egamar,

Have you got a link to the near cash fund? I might like to keep my money in cash for the next 6 months but want to make sure that this is done by using my 4K allowance which I have for stocks and shares.

What market variations are they subject too by the way?

Thanks

Sorry, I don't have a link to the CoFunds fund, as I don't use them, but I read about it the other day when I was searching for the Fidelity equivalent. I imagine CoFunds have a 'fund search' function which would allow you to filter by 'cash funds'.

The 'near cash' investments I refer to are things like fixed interest securities, but they go up and down in value - don't #ask me why, that's why I simply called them "market variations". I have NEVER understood the fixed interest/bond market!

By the way: you have up to April next year to invest this money in an ISA, why not just keep it in the bank/building society? Sure, you have to pay tax on the interest, but at least you're assured a positive return, whereas the return in anything but straight cash funds might well be negative.

You can always pay for your dealing using a debit card (no messing about for cheques to clear) at least you could via Allenbridge whom I used to use, and by extension I assume most brokers would support this, as the transaction (in my case) was actually with Fidelity/FundsNetwork.

Debt_Free_Chick

According to Fidelity, they have a cash fund for use inside an ISA

egamar

Debt_Free_Chick wrote: »

According to Fidelity, they have a cash fund for use inside an ISA

You had me going there! That's the one I asked Fidelity (and my IFA about). It's only available as part of a cash ISA or mini ISa or whatever they're called (I don't have any).

You can't put cash in and then switch or sell/buy S&S or funds. Otherwise it'd be perfect!

Ian_W

egamar wrote: »

You had me going there! That's the one I asked Fidelity (and my IFA about). It's only available as part of a cash ISA or mini ISa or whatever they're called (I don't have any).

You can't put cash in and then switch or sell/buy S&S or funds. Otherwise it'd be perfect!

That was my understanding too - but the fund FACTSHEET is a bit contradictory saying it can be part of a MAXI ISA but not then used to buy S&S funds!
"You can invest in the MoneyBuilder Cash ISA Fund either as a Mini or part of a Maxi ISA. It could also be a good choice if you want to minimise any risk with your money or want to save for only a short period of time. Remember that HMRC regulations do not allow you to switch your money from cash into stocks and shares within an ISA."

Debt_Free_Chick

bloomin' 'eck - sorry for any confusion. Whilst Fidelity are generally pretty good with information, they certainly haven't made the situation clear.

I too was suckered in by the statement that it could be used "as part of a Maxi ISA".

OP - just put the money in a savings account and then buy investments inside an ISA, online, with a debit card, on the day!!!!

Remember, that you'll need to switch cash from your savings account to your current account in good time to make the purchase!

Joey122

Has anyone found out if this (cash fund) is eleible for S&S ?

Also can anyone please confirm what the rate of return was returned in the last three years AFTER all fees?

I see 4 / 5 % - Is that the case?