Is this right to sell ISA mysel?

ANGLICANPAT

Speaking to iweb  , asking  about transfer times etc  for  ISAS  ,   I  said I was going to  fill in their transfer form  to instruct  current platform , to switch my old ISA fund to iweb as cash. ( I just wanted to make sure there was no problem with starting off an account with  a transfer as oppose to fresh isa money  )      He told me it would be better first for me  to ask the current platform to sell the fund and hold cash  , then to post the switch form to iweb  as Id get a better price selling now  rather than send in my switch form and wait for iweb to process it  ,  etc  by which time as things are a bit Corona affected  at the moment ,  by the time they instruct current platform to sell,  the market could have gone down .  As cash  already, they can just  transfer  it still in wrapper, for my iweb  isa account  , more quickly  --  up to 25 days  .Seems a long time to pick up some cash  , but thats the way it is.. However, Ive not been told to do this before  as I thought   doing it this way  it would lose its isa  status .   So is this a valid method  hes suggested  ?                  

eskbanker

Transferring from one S&S ISA to another in cash is fine and no loss of ISA status is involved, provided the proceeds remain within the ISA environment rather than being withdrawn to a bank account.  If you have made the decision that you don't want to remain invested in whatever you're currently holding then selling before transferring is probably simpler (and if IWeb don't offer your fund then you have to do it anyway), but ignore any stupid opining about future price movements which he won't know and certainly won't be authorised to advise about....

ANGLICANPAT

Thanks eskbanker , sorry   Ive just remembered that  Ive mistakenly told  here and iweb, that it was a platform change . Its not --the ISA fund  is held directly   (its  an old one of OH's done via a broker) .  This may make a difference - can  the  fund company encash and hold in a  wrapper whist   iweb plods through its  processes ? 

eskbanker

I suspect the best approach would be to post details of exactly what product(s) and provider(s) you're referring to, and maybe someone can then offer more accurate and informed guidance as to what transfer possibilities there are....

ANGLICANPAT

Artemis uk special  sits Acc  and  Artemis Inc  both class C  and under the same isa account no. for a year way back.   Need them to go to  iweb  . 

masonic

It will take them at least a week to forward the transfer request to Artemis, so there is no reason to delay. If you wish to instruct Artemis to sell the funds, you could do so in the interim, though I fail to see the value in doing so. Most people try to minimise their time out of the market, Artemis are quite capable of selling the investments when they are ready to process the transfer.

ANGLICANPAT

Thank you masonic  . Are Artemis  actually  even  able  to  hold cash for you in your isa   like a platform can ?   Artemis defo said  it was up to me to sell first   although Ill try and get through again  to double check.  

masonic

ANGLICANPAT said:

Thank you masonic  . Are Artemis  actually  even  able  to  hold cash for you in your isa   like a platform can ?   Artemis defo said  it was up to me to sell first   although Ill try and get through again  to double check.  

Artemis is an authorised S&S ISA manager. It is required to accept a valid ISA transfer instruction. The ISA rules allow the investor to specify whether they want their investments transferred as stock or sold and transferred as cash. The only reasonable refusal to follow such an instruction is when the investment is suspended from trading. By signing a transfer instruction specifying a transfer in cash, you are authorising Artemis to sell the investments contained within the ISA. If they really insist they want a direct instruction from you, it would be worthwhile seeing if they will notify you when they are ready to proceed, but this is not a step they should be imposing on their customers.

The ability to hold cash is an essential feature of a S&S ISA, because it is not permitted to transfer investments directly into (or out of) a S&S ISA. If the S&S ISA holds investments, then cash must have been previously held within the ISA for those investments to have been bought.

ANGLICANPAT

" If the S&S ISA holds investments, then cash must have been previously held within the ISA for those investments to have been bought."
Of course,  I didnt think of it like that  but its obvious when you put it that way .   Many thanks  
for all the explaining -  and to you esbanker.