transfer shares from one platform to another

thenewcomer

Why do people request for transfers, when they can just sell at one platform and buy the shares back at the second platform?

Thrugelmir

Dealing charges, stamp duty,  buy and sell spread, out of the market risk, capital gains tax. 

thenewcomer

is there no dealing charge on transferring shares?

AnotherJoe

No, because you aren't dealing in them. Dealing means buying or selling. 

There may be a charge to transfer. But not a dealing charge. 

maxsteam

There may be a charge to transfer. But not a dealing charge. 

Yes. It varies between providers but it might be £25 per holding. With dealing charges of £10 to sell, £10 to buy, spread and stamp duty the charges might be comparable.

Linton

If you sell and buy you are out of the market for some time as you have to wait for the proceeds of the sale to arrive and the cash to be transferred. You may avoid a crash or more likely lose money as the price will have risen in the meantime.

ivormonee

maxsteam said:

There may be a charge to transfer.

Yes. It varies between providers

It does, but only for those providers that levy exit charges/ transfer out fees. Of the main providers I am only aware that:

- AJ Bell, and

- Charles Stanley Direct

charge to leave; the others do not apply charges if you decide you wish to transfer out.

Personally, I would never transfer to a provider that includes charging customers who may wish to leave; it's totally unacceptable in my view.

TBC15

Thrugelmir said:

Dealing charges, stamp duty,  buy and sell spread, out of the market risk, capital gains tax. 

Not sure if CGT comes into it if you buy the same stuff within 30 days?

Eco_Miser

TBC15 said:

Thrugelmir said:

Dealing charges, stamp duty,  buy and sell spread, out of the market risk, capital gains tax. 

Not sure if CGT comes into it if you buy the same stuff within 30 days?

It can do. Suppose you sell, then the price drops and you re-buy within 30 days at a lower price. The sale is matched against the re-buy, giving you a capital gain. See this Monevator comment. The article covers just about everything about CGT. The comments cover the rest.

DavidT67

ivormonee said:

maxsteam said:

There may be a charge to transfer.

Yes. It varies between providers

It does, but only for those providers that levy exit charges/ transfer out fees. Of the main providers I am only aware that:

- AJ Bell, and

- Charles Stanley Direct

charge to leave; the others do not apply charges if you decide you wish to transfer out.

Personally, I would never transfer to a provider that includes charging customers who may wish to leave; it's totally unacceptable in my view.

You can mitigate exit fees by transferring to a provider who covers them for you. 

Following FCA rumblings, platforms have been reducing exit fees, but instead increased custody fees.

Not so good for those who just stay put and hold forever.