Sell RLSTMMF to buy CUKX on ii

20122013

https://forums.moneysavingexpert.com/discussion/comment/82175236#Comment_82175236

The RL STMMF currently is inside a tax wrapper. I want know whether it is better to hold CUKX within a S&S ISA, or in a general investment account, I do not have any CGT remaining this year and used this year's ISA contributions.

poblomov

It'll probably be better to hold it in an ISA for various reasons including not having to worry about Excess Reportable Income.

I suppose it might be a question of what else you have outside tax wrappers that could go in there instead. Though that might incur CGT disposing of the alternative and repurchasing it in the ISA

InvesterJones

https://forums.moneysavingexpert.com/discussion/comment/82176394#Comment_82176394

It's definitely better to hold it in an ISA than not, but since you don't have any contributions left you'd have to move something else out to make room for it so a question of relative tax rates and allowances (if you moved the STMMF for example then you'd be paying tax on the interest, if you've used your savings allowance, just as you do for any cash you hold in an interest bearing account). Perhaps work out which is higher out of the tax you'd pay on cash/MMF in a GIA (e.g. interest) vs the tax you'd pay on CUKX (e.g. dividend, ERI & CGT) - and or how much hassle the different options are (interest is usually reported for you, vs having to report yourself).

Qyburn

https://forums.moneysavingexpert.com/discussion/comment/82176529#Comment_82176529

It's definitely better to hold it in an ISA than not, but since you don't have any contributions left you'd have to move something else out to make room for it

I think you can't only do that if it's a flexible ISA.

Otherwise it seems the sensible way would be sell the RL keeping the proceeds in the ISA, then buy the new fund from those proceeds.

masonic

https://forums.moneysavingexpert.com/discussion/comment/82176690#Comment_82176690

Anyone can move investments between different financial accounts by placing matched buy and sell orders on the relevant platforms. ISA flexibility is only needed when withdrawing and replacing cash from the wrapper.

InvesterJones

https://forums.moneysavingexpert.com/discussion/comment/82176877#Comment_82176877

Precisely, apologies if my lazy wording implied otherwise.