Isa advice please

Photoframe55

I want to invest my lsa allowance for this year in a stocks and shares isa but haven't had time to look into it. Can i put this years allowance into a cash isa for now, then move it to a stocks and shares isa in a couple of months, but if so, would that then count as next years allowance being used up?        

dunstonh

 Can i put this years allowance into a cash isa for now, then move it to a stocks and shares isa in a couple of months

yes

but if so, would that then count as next years allowance being used up?        

No as you would have contributed in this tax year, not the next.

Photoframe55

Hi thanks for your reply. So, if thats the case, could it be put, for now,    until i do some research, into a variable rate cash isa and then just  taken out and moved?   Isas are a total mystery to me.    If it was a variable rate isa, you can withdraw it from there?   Sorry, i sound totally clueless.    

eskbanker

You can withdraw from any ISA, variable or fixed, although the latter usually entail withdrawal penalties.  However, if the purpose of the exercise is to secure this year's allowance for investment next year then you wouldn't withdraw it anyway, you'd use the ISA transfer process (of your new provider) to move it directly from one ISA to the other, otherwise it would count towards next year's allowance....

Photoframe55

So, i could just put it into a nonfixed isa for a couple of months or so, then transfer it to a stocks and shares, and still have next years allowance as well?    Also, a sticks and shares isa, can you use it to just  buy shares of a certain company or two say?  

eskbanker

Photoframe55 said:

So, i could just put it into a nonfixed isa for a couple of months or so, then transfer it to a stocks and shares, and still have next years allowance as well?

Yes.

Photoframe55 said:

Also, a sticks and shares isa, can you use it to just  buy shares of a certain company or two say?  

Never heard of one of those, can you open them in branches?

But yes, you can buy individual shares via most (but not all) S&S ISA providers - that's not to say it's a good idea though, and collective investments such as funds usually form a better starting place for most investors, given the benefits of diversification.

jimjames

Photoframe55 said:

So, i could just put it into a nonfixed isa for a couple of months or so, then transfer it to a stocks and shares, and still have next years allowance as well?    Also, a sticks and shares isa, can you use it to just  buy shares of a certain company or two say?  

Yes you can do that. So by April you could have £40k inside an ISA, £20k from this year and £20k from next.

You can buy any number of shares of pretty much any listed company but most people would normally buy funds initially so they have a more balanced portfolio. If you only have 1 or 2 shares then you are at much greater risk if those companies do badly.

grumiofoundation

Photoframe55 said:

So, i could just put it into a nonfixed isa for a couple of months or so, then transfer it to a stocks and shares, and still have next years allowance as well?    

Yes (as above need to use ISA transfer service).

Depending on what you are looking to invest in it might be an option to pay 20k into stocks and shares ISA this tax year but just hold all/most as cash until you decide?

   Also, a sticks and shares isa, can you use it to just  buy shares of a certain company or two say?  

You can invest in individual companies or in more diversified options such as multi-assest funds. 

grumiofoundation

Photoframe55 said:

Also, a sticks and shares isa, can you use it to just  buy shares of a certain company or two say?  

Never heard of one of those, can you open them in branches?

Personally I wood only use them for very niche investments. 

 https://www.hl.co.uk/funds/fund-discounts,-prices--and--factsheets/search-results/p/pictet-timber-p-gbp-income

Photoframe55

Sooooooo funny 😂

Photoframe55

So, i dont know anything at the moment about any of the stocks and shares isa bit, including holding it in cash in one.    Im sorry if i sound very thick.      Ive not got the time at the minute to look into it all, or choose etc,  so would the easiest thing to do just to get my allowance used be to put it into a cash isa then transfer it when ive done my research??    Also,  totally separate.,   as interest rates are so low on savings,  is there anything between     savings accounts           and stocks and shares ,  with no risk.?    Ive been told about bonds in banks being available sometimes?    Or anything else ?