Investment into two S&S ISA

Green.Lander

Hello,
Quick question I have around £5k in Vanguard LS60 and £5k in HSBC Balanced in Fidelity S&S ISA. I like the platform but want to transfer the VS60 holder direct to Vanguard to save on platform charges but still keep the HSBC holding in Fidelity. If i do this will a be able to still contribute around £300 to each per month on different platforms? Note i will not exceed the £20k limit per year and i like both funds to ensure diversity. Just wanted to check if i can do this and is a good idea? Thank you.   

dunstonh

If i do this will a be able to still contribute around £300 to each per month on different platforms?

No.

Your ISA is currently split between the value built up from previous years contributions and the value built up from current year contributions.   You are committed to the current provider unless you transfer the current year contributions to the new platform.   If you did that, then you could only pay into the new platform.    You cannot mix and match.

You are already on a near whole of market platform.   Transferring £5000 to another platform to save a few pennies is completely pointless.   And if you were planning a cash transfer then it could actually cost you more than you would save in the year by being out of the market for a couple of weeks.

colsten

In the same financial year, you can only put new money into one ISA of each type. ‘Type’ is S&S, cash etc, not platform

Albermarle

 Transferring £5000 to another platform to save a few pennies is completely pointless.

£10 pa to be precise.

grumiofoundation

Albermarle said:

 Transferring £5000 to another platform to save a few pennies is completely pointless.

£10 pa to be precise.

Could actually end up costing OP money due to fidelity’s charging structure.

Fidelity only charges 0.35% if you have >£7500 or a regular savings plan. £45 if <£7500 with no RSP. 

so if OP transferred £5000 to VG, leaving £5000 with fidelity, but contributed to VG (thereby being unable to contribute to fidelity) they would actually end up paying more than do now!  

msallen

As stated above you cannot contribute to more than one S&S ISA in any tax year, plus the savings to be made are questionable. However, if you really want to get all your VG funds onto VG and all your other funds on Fidelity, then you can achieve that over time by continuing as you are this year and then making contributions to VG next year to buy VG funds at the same time as converting your VG funds to HSBC funds on Fidelity. You could potentially speed that up if any of your Fidelity holdings are from previous tax years, by transferring those (or at least their value) to VG this year.