Transferring partial previous years ISAs to iWeb

dllive

soulsaver said:

Sound barmy to me, too. Needs a phone call or message them.

But I'll add something that I wasn't aware of until rates became significant:

Cash held in your SIPP, ISA and GIA in Interactive (II) & HL, and maybe others, earn interest - not the best rates, but significant - tiered up to c.4.0+%.

IWebb? Nowt, zilch, nada. 

Yesterday I signed up to Trading212. I was happy to find theyre currently paying 5.2% on cash held!! (but you have to opt in; and agree for the cash to be invested in money market funds which - although not as safe as cash - its not far off it). Also, 1% cashback on all ISA contributions. Also, no platform/trading fees! The only reason why Im not transferring from Vanguard/Hargreaves into Trading212 is that Trading212 only supports ETFs.

badger09

ColdIron said:

soulsaver said:

IWebb? Nowt, zilch, nada. 

Happy enough with that too. With no annual fees there is no reason to hold cash (other than for upcoming purchases) and you can afford to be fully invested. My cash balance is less than £3 and I'm going to eliminate that with my next purchase

Me too, though my cash balance is £9.66 for reasons I can’t now recall. Shoot me now for not making that £9.66 work harder😊

ColdIron

badger09 said:

ColdIron said:

soulsaver said:

IWebb? Nowt, zilch, nada. 

Happy enough with that too. With no annual fees there is no reason to hold cash (other than for upcoming purchases) and you can afford to be fully invested. My cash balance is less than £3 and I'm going to eliminate that with my next purchase

Me too, though my cash balance is £9.66 for reasons I can’t now recall. Shoot me now for not making that £9.66 work harder😊

Yes I can't recall how my £2.78 came about either but it's been disproportionately niggling me for some time now and I'll be pleased to see it gone after 3 years

boingy

I have £0.01 in the cash part of my iWeb ISA account. Somehow it got left behind when they executed my instruction to invest the whole cash balance in a fund. I assume it's down to rounding or partial units or something but it does make me scowl a little bit when I login. 

jimjames

badger09 said:

ColdIron said:

soulsaver said:

IWebb? Nowt, zilch, nada. 

Happy enough with that too. With no annual fees there is no reason to hold cash (other than for upcoming purchases) and you can afford to be fully invested. My cash balance is less than £3 and I'm going to eliminate that with my next purchase

Me too, though my cash balance is £9.66 for reasons I can’t now recall. Shoot me now for not making that £9.66 work harder😊

It's a frustration to me with their dividend reinvestment process. When it is reinvested any remaining value after the purchase is left as cash. Unfortunately when the next dividend reinvestment comes along it doesn't mop up the spare cash to do the purchase and will leave another small balance as a result. It would be nice (but I understand why it's not done) that you could use the remaining cash to add to the dividend reinvestment so you get the most shares possible.

dllive

masonic said:

The book cost will be the total cost of your units divided by the total number of units. HL normally show this figure on your account breakdown, and it is probably correct if you've not done any transferring in to them.

You can then use this to calculate the total cost of the units that end up at iWeb, and a new book cost of your combined holdings there.

Ive just calculated my book price for each fund:

FUND                                         Total cost   /  Total units  =  Book cost         

LifeStrategy® 100% Equity Fund                  £9,596.79      31.4330        £305.30

FTSE Developed Europe ex-U.K. Equity Index      £1,502.00      4.3186         £347.79

FTSE Developed World ex-U.K. Equity Index       £1,390.10       2.8072        £495.19

FTSE Global All Cap Index Fund                  £3,342.39       18.6727       £178.99

U.S. Equity Index Fund                          £2,504.25       3.3413         £749.48

All of the above are accumulation funds. Do I need to factor for this somehow or will the above suffice?

Thanks

ColdIron

Looks about right and the values (book cost per unit) of each fund is in the sort of ballpark you would expect

Just one small point, your OP says you are looking to do a partial transfer 'from Hargreaves and Vanguard platforms to iWeb'. Is this a combined weighted average across all platforms?

That they are accumulation units doesn't matter for now but when you come to sell you will need to account for retained dividends

dllive

ColdIron said:

Looks about right and the values (book cost per unit) of each fund is in the sort of ballpark you would expect

Thanks for confirming ColdIron. Perhaps I should use the term 'book cost per unit' rather than 'book cost', or perhaps these terms are used interchangeably. (I do find investing terms slightly confusing, for example, 'units' can also mean 'shares' and 'mutual funds' are 'passive funds' and 'unit cost' is 'book cost' etc)

Just one small point, your OP says you are looking to do a partial transfer 'from Hargreaves and Vanguard platforms to iWeb'. Is this a combined weighted average across all platforms?

Things have changed since my OP. Im going to wait til my Vanguard to iWeb transfer completes. Then Im going to do a partial transfer from Hargreaves to Vanguard; then a full transfer from Vanguard to iWeb.

That they are accumulation units doesn't matter for now but when you come to sell you will need to account for retained dividends

Are you thinking for the purposes of tax (these are ISAs, so tax not applicable) or to get precise reporting? Just curious.

Thanks for confirming ColdIron. Perhaps I should use the term 'book cost per unit' rather than 'book cost', or perhaps these terms are used interchangeably. (I do find investing terms slightly confusing, for example, 'units' can also mean 'shares' and 'mutual funds' are 'passive funds' and 'unit cost' is 'book cost' etc)

ColdIron

Sorry, some clarification:

What IWeb call 'book cost' is the same as what HL call 'cost'. This is the 'total cost of purchase' for all the units you hold on each platform. This is the figure you want IWeb to update for you. IWeb's 'Avg Cost Per Share' will be correct if the book cost is correct

If you did a full transfer (of Vanguard funds) from one platform, say HL, to IWeb you could just use HL's 'cost' figure (assuming it was correct). If you subsequently did a full transfer from Vanguard you would just add their 'total cost of purchase' to it

But it looks like you are doing partial transfers. If I understand correctly, partial from Vanguard (in terms of fund value), partial from HL (in terms of funds but not value, only Vanguard funds in full) and final full from Vanguard

So in that instance you would need the average cost per unit (what you have titled 'Book Cost' above) multiplied by the number of units that were transferred

If you end up transferring all your funds from both platforms your IWeb 'book cost' would be the total cost of purchase across both originating platforms

Are you still with me?

Are you thinking for the purposes of tax (these are ISAs, so tax not applicable) or to get precise reporting? Just curious.

Yes, ignore that comment

Stargunner

dllive said:

masonic said:

The book cost will be the total cost of your units divided by the total number of units. HL normally show this figure on your account breakdown, and it is probably correct if you've not done any transferring in to them.

You can then use this to calculate the total cost of the units that end up at iWeb, and a new book cost of your combined holdings there.

Ive just calculated my book price for each fund:

FUND                                         Total cost   /  Total units  =  Book cost         

LifeStrategy® 100% Equity Fund                  £9,596.79      31.4330        £305.30

FTSE Developed Europe ex-U.K. Equity Index      £1,502.00      4.3186         £347.79

FTSE Developed World ex-U.K. Equity Index       £1,390.10       2.8072        £495.19

FTSE Global All Cap Index Fund                  £3,342.39       18.6727       £178.99

U.S. Equity Index Fund                          £2,504.25       3.3413         £749.48

All of the above are accumulation funds. Do I need to factor for this somehow or will the above suffice?

Thanks

Is there any particular reason that you have 5 funds with relatively small amounts in, rather thsn just having it all invested in one global tracker.