Platform to minimise costs

Froggitt2

I've reached the £85K level with both ii and iweb across pensions/ISAs. Now need another account, ideally flat rate. The Monevator table, most of the flat rates seem to be variants of iweb, with the exception of HSBC (no funds) and Sharedeal Active (no funds). 

Are there any that I am missing? This new one will probably get to around £85K, and I really don't want to be saddled with percentage charges. I'm probably going to have just funds in this new ISA account.

Thoughts?

eskbanker

You do realise that when investing there's no need to try to stay within the £85K FSCS compensation limit, even though it makes sense to do so when saving in cash deposit form?  The protection offered by FSCS for investments is different and it would be quite some achievement to have £85K of FSCS-covered losses in the event of a platform collapse....

jimjames

iWeb is good for flat rate charges - well other than opening there are none for holding investments

Froggitt2

eskbanker said:

You do realise that when investing there's no need to try to stay within the £85K FSCS compensation limit, even though it makes sense to do so when saving in cash deposit form?  The protection offered by FSCS for investments is different and it would be quite some achievement to have £85K of FSCS-covered losses in the event of a platform collapse....

So you think opening another account would be over cautious? Do other people go over the £85k for investments?

eskbanker

Froggitt2 said:

eskbanker said:

You do realise that when investing there's no need to try to stay within the £85K FSCS compensation limit, even though it makes sense to do so when saving in cash deposit form?  The protection offered by FSCS for investments is different and it would be quite some achievement to have £85K of FSCS-covered losses in the event of a platform collapse....

So you think opening another account would be over cautious? Do other people go over the £85k for investments?

Yes and yes!

jimjames

Froggitt2 said:

eskbanker said:

You do realise that when investing there's no need to try to stay within the £85K FSCS compensation limit, even though it makes sense to do so when saving in cash deposit form?  The protection offered by FSCS for investments is different and it would be quite some achievement to have £85K of FSCS-covered losses in the event of a platform collapse....

So you think opening another account would be over cautious? Do other people go over the £85k for investments?

I have over the FSCS limit on several platforms so yes I think is it overcautious

DireEmblem

My understanding to try and simplify things(please correct me if over simplification), is that with Stocks and shares, the number 1 aim is to be regulated by the FCA.

Your investment assets have to be held in a segregated account under a trustee based on the regulations.  What that means, is if the platform you use gets into financial difficulty - lets say iWeb and the worst happens / it goes bust, your funds are ring fenced.  The assets/investments you held with iWeb, would be transferred to a nominated account with another provider.

Albermarle

Froggitt2 said:

eskbanker said:

You do realise that when investing there's no need to try to stay within the £85K FSCS compensation limit, even though it makes sense to do so when saving in cash deposit form?  The protection offered by FSCS for investments is different and it would be quite some achievement to have £85K of FSCS-covered losses in the event of a platform collapse....

So you think opening another account would be over cautious? Do other people go over the £85k for investments?

This question is asked many many times on this forum .
Although an investment platform is covered for £85K , there is very little risk that this will ever be needed if you stick to mainstream platforms like the ones you mention . They are not banks lending money to people who might not be able to pay it back .
Also your money is actually in the investments not the platform itself. Any platforms not doing that well tend to get snapped up by competitors very quickly .
People with pretty large sums invested ( say a few hundred thousands) tend to split over two platforms just in case, and more in case of an major IT failure than anything else.
So opening another account for you would essentially be a waste of time .

Froggitt2

Thanks all. I've just received notification from L&G that they are transferring my ISA to Fidelity, and an old Halifax cash ISA is maturing. I shall just try to simplify my life and transfer into my iWeb ISA.

Incidentally, the L&G thing, I also have a pension with them, is that also on its way to Fidelity? It wasn't mentioned in the documentation.