One-off Purchase of Shares in a Specific Company

drumlinruby

Hoping someone can help and apologies if this is very basic!!
My children have been left £2,000 from a relative. We are looking to buy shares in one specific company that is listed on the stock exchange. We do not want to do regular transactions and we are looking to invest for a minimum of 5 years.
I have done a bit of research but it looks as though I have to instruct a broker to do this for me but they then charge a monthly fee which varies depending on how many transactions we do - but we won't be doing any other than the initial purchase.
We know that we will need to pay fees to complete the purchase but wondering if there was a way of doing it without having to incur monthly fees?
I appreciate the investment is very small but we are trying to act upon the wishes of the relative!! Any help much appreciated. Thank you.

Peter999_2

I always use Halifax Share Dealing when I've bought shares. There is a one-off commission payment per deal of £12.50 - no monthly fee.


https://www.halifax.co.uk/sharedealing/charges/


Hope this helps

[Deleted User]

Try https://www.iweb-sharedealing.co.uk/ - £5 per trade, no monthy or annual fees either.

gt94sss2

pioruns wrote: »

Try https://www.iweb-sharedealing.co.uk/ - £5 per trade, no monthy or annual fees either.

iweb also charges £25 as an account opening charge.

I would advise drumlinruby to look at http://x-o.co.uk/ - no ongoing or opening/closing fees and just £5.95/trade so ideal to hold a one-off shareholding for an extended period.

Tom99

How old are the children? Investing in a single company is very high risk, so unless they can afford to potentially lose all or most of their investment not a good choice.
I think with Halifax SD you can set up a share-dealing account then use a one-off regular investment to buy at £2 dealing fees. No other fees in the future unless you want to reinvest the dividends.

jimjames

drumlinruby wrote: »

Hoping someone can help and apologies if this is very basic!!
My children have been left £2,000 from a relative.

I appreciate the investment is very small but we are trying to act upon the wishes of the relative!! Any help much appreciated. Thank you.

Did the relative specify exactly the company that you had to buy? It seems a bit unusual to do so if they've left them money rather than leaving them shares.

Buying £2000 in one company is very high risk and unless the will specifies that exact company you may want to consider whether this is in the best interests of the children.

Keep_pedalling

How old are your children? If they are minors then as a trustee you should not gamble their inheritance on a single company.

If they are very young I would set each of them up with a S&Ss JISA with it all invested in a global multi asset fund. If they are nearer their 18th birthday (16 in Scotland) then a cash JISA would be more appropriate.

Keep_pedalling

jimjames wrote: »

Did the relative specify exactly the company that you had to buy? It seems a bit unusual to do so if they've left them money rather than leaving them shares.

Buying £2000 in one company is very high risk and unless the will specifies that exact company you may want to consider whether this is in the best interests of the children.

Such a clause would not be binding, you can’t control things from the grave in that way.

Malthusian

Keep_pedalling wrote: »

Such a clause would not be binding, you can’t control things from the grave in that way.

True. Unlike the statutory duty to invest the children's money as a prudent businessperson would, which is binding. Following the late relative's wishes may very well be unlawful.

That said, if the share in question was Vanguard All-World ETF it might be more defensible.

redux

gt94sss2 wrote: »

iweb also charges £25 as an account opening charge.

I would advise drumlinruby to look at http://x-o.co.uk/ - no ongoing or opening/closing fees and just £5.95/trade so ideal to hold a one-off shareholding for an extended period.

I'm not sure that XO offers automatic reinvestment of dividends.

If the chosen shares do have dividends, I'd suggest iWeb, with a fee of 2% of the reinvested amount, no minimum charge, or a range of others such as 1%, with £1 mimumum, or £1.50 flat fee.

I agree with the others about what to choose, something diversified rather than a single company.

Also, if this is to be a fund rather than an investment trust share, some platforms have an annual fee based on a percentage of the overall value; iWeb doesn't.

cloud_dog

drumlinruby wrote: »

Hoping someone can help and apologies if this is very basic!!
My children have been left £2,000 from a relative. We are looking to buy shares in one specific company that is listed on the stock exchange. We do not want to do regular transactions and we are looking to invest for a minimum of 5 years.
I have done a bit of research but it looks as though I have to instruct a broker to do this for me but they then charge a monthly fee which varies depending on how many transactions we do - but we won't be doing any other than the initial purchase.
We know that we will need to pay fees to complete the purchase but wondering if there was a way of doing it without having to incur monthly fees?
I appreciate the investment is very small but we are trying to act upon the wishes of the relative!! Any help much appreciated. Thank you.

What exactly was the gift, i.e. inheritance or a gift, and what exactly was stated?