Timing selling a fund

dannybbb

I have hsbc global funds within a SIPP at II and want to sell them but if I hit trade at the weekend I’m assuming I won’t get the value I currently see which lead me to consider how do you control the decision to sell ie if the value dropped 90% I would t make that decision! Is it correct that if you see a certain value at 11.45 am and sell them then that’s likely what you recieve? Obviously I’m not worried about an ex T figure but to protect against a big drop

Voyager2002

Is this a Mutual Fund, as opposed to an ETF or Investment Trust? In that case, you can never know the price you will receive at the moment you give the 'sell' instruction. You may find that if you give a 'sell' instruction on the Monday morning, you receive the price set at market close on the Tuesday or Wednesday.

dannybbb

It’s a hsbc global fund. Would you reccomend selling part of it at first rather than the whole amount  or is there a best time of the day to be more sure that there’s not been a huge change since you decided to sell

InvesterJones

dannybbb said:

It’s a hsbc global fund. Would you reccomend selling part of it at first rather than the whole amount  or is there a best time of the day to be more sure that there’s not been a huge change since you decided to sell

Its an OIEC/mutual fund so there is only one dealing point per day, with a cut-off some time before, so there isn't any timing to be had. If you are worried about a drop between one day and the next you can either a) watch the price of a similar global fund that is on an exchange therefore trading intra day, if one exists, before making the decision to sell. b) Split the sell over several days to average out the effect of any sudden changes. c) not worry about timing because one day should just be noise in the wider picture of a long term global investment.

Ciprico

Set a sell limit price....

wmb194

dannybbb said:

It’s a hsbc global fund. Would you reccomend selling part of it at first rather than the whole amount  or is there a best time of the day to be more sure that there’s not been a huge change since you decided to sell

Have a look at what it owns and see how the market has moved since the last valuation point.

Voyager2002

Ciprico said:

Set a sell limit price....

I doubt if that is possible with a Mutual fund/OEIC.

Section62

dannybbb said:

It’s a hsbc global fund. Would you reccomend selling part of it at first rather than the whole amount  or is there a best time of the day to be more sure that there’s not been a huge change since you decided to sell

You could hold the fund on a platform with the least delay between cut-off and the next valuation point.  I believe HSBC's own platform has a cut-off around 10:30am for noon funds like Global Strategy.  I've not confirmed it yet, but IWeb's appears to be 11:15am.  You'd be very unlucky if the value of the underlying assets moved drastically downwards in the last 90 (/45) minutes before noon.

Of course there's a risk of leaving it too late and missing the cut-off, and then everything crashing over the next 24 hours.... so some balance has to be applied.

peter021072

These world HSBC funds are on an uptrend at the moment, but small day to day variations are almost random. This particular one has a valuation point at 12 noon. HL list the times in a table alongside each fund.  My broker Interactive Investor would expect an instruction by 11 am for that fund.  Some require instructions as early as 8am. You could follow a world ETF such as FTSE all world to check if there's any substantial change in the morning but that would only be approximate to any specific fund.

dealyboy

I am an HSBC Global Strategy fund holder in my SIPP with AJ Bell, their soft cut-off time is 10:00 with a 'best endeavour' window for 30-45 minutes prior to the trading time at 12:00 GMT.

I have both bought and sold over the years, but have not been concerned about the possibility of a price jump when buying as my SIPP has been for the long term. In the case of selling, markets and financial information on the day of a trade will be good indicators of potential price movement, however the major influences will be from the US with some figures at 13:30 and other information coming out after markets open at 14:30 GMT, both after the trading time.

Alexland

I think you just have to accept when you sell a fund that there is some uncertainty between issuing the instruction  and finding out the unit price. Another good reason to trade as infrequently as possible. If you want more certainty look at holding an ETF although with them never issue a sale instruction when the market is closed as you can get some funny prices at the start of trading.