ISA guidance - Intelligent Money Private Clients

[Mr Whippy]

All fixed now, Minor Details tab visible.

Thanks!

[Dan_1981]

I have a lump sum to invest <£10k & an ongoing monthly top up of a small amount (couple of hundred a month)

Would a stocks & shares ISA be a good solution for somethign like this?

At the moment it just sits in a bog standard high street account.

Happy to take a little amount of risk but don't want to dump the whole lot in Doge Coin.

Thanks!

[Intelligent Money]

Dan_1981 said:

I have a lump sum to invest <£10k & an ongoing monthly top up of a small amount (couple of hundred a month)

Would a stocks & shares ISA be a good solution for somethign like this?

At the moment it just sits in a bog standard high street account.

Happy to take a little amount of risk but don't want to dump the whole lot in Doge Coin.

Thanks!

Hi Dan_1981

The annual contribution allowance for a S&S ISA is £20k so you are well within the contributions limits. The tax advantages of the ISA wrapper and the flexibility of access are often attractive for this size of investment.

There are a number of providers and investment options available for a S&S ISA. If you want to chat through the areas that you may want to consider please just drop me a mail at [e-mail]

Cheers

Nik

[Simpo Two]

Dan_1981 said:

I have a lump sum to invest <£10k & an ongoing monthly top up of a small amount (couple of hundred a month)

Would a stocks & shares ISA be a good solution for somethign like this?

At the moment it just sits in a bog standard high street account.

Happy to take a little amount of risk but don't want to dump the whole lot in Doge Coin.

Bear in mind that you'll still have to choose what funds/shares etc to invest in. The 'ISA' itself is just a bag of tax-freeness.

[williaa68]

I have a modest amount in an ISA with one of the larger platforms. The holdings include Ruffer which recently announced a 1 for 4 entitlement offer. I have fully utilised my £20k ISA allowance for this year. If I am to take up the offer can I add money to the ISA in excess of the £20k limit or do I have to sell something else to take up the offer? Thank you.

[dingg]

williaa68 said:

I have a modest amount in an ISA with one of the larger platforms. The holdings include Ruffer which recently announced a 1 for 4 entitlement offer. I have fully utilised my £20k ISA allowance for this year. If I am to take up the offer can I add money to the ISA in excess of the £20k limit or do I have to sell something else to take up the offer? Thank you.

20k a year is the maximum, so that leaves you needing to sell something to take up the offer.

[Mr Pointy]

williaa68 said:

I have a modest amount in an ISA with one of the larger platforms. The holdings include Ruffer which recently announced a 1 for 4 entitlement offer. I have fully utilised my £20k ISA allowance for this year. If I am to take up the offer can I add money to the ISA in excess of the £20k limit or do I have to sell something else to take up the offer? Thank you.

Can you take up the option but hold the new shares outside the ISA in a GIA account? Then you can transfer them into the ISA next April.

[JulianPH]

Mr Pointy and ding are both correct. You would have to sell something (from any ISA you have) to free up the cash to buy these share, or buy them in a General Investment Accoutn (GIA) with the same platform provider and then transfer these shares ‘in specie’ into you ISA in April using you 2022/2023 tax year allowance.

[mikeiow]

Any imminent plans to open up an option to have LISA with IM?

I know they have been mentioned in the past as a possibility....
cheers!

[CoopsIM]

mikeiow said:

Any imminent plans to open up an option to have LISA with IM?

I know they have been mentioned in the past as a possibility....
cheers!

Good morning

Nothing at the moment. I know it was looked at for a while but nothing was ever finalised.

Kindest regards

Coops

[mikeiow]

CoopsIM said:

Good morning

Nothing at the moment. I know it was looked at for a while but nothing was ever finalised.

Kindest regards

Coops

Cheers Coops, will look elsewhere for now

[S6PNJ]

Quick (hopefully) question - is there any benefit to a pensioner holding money in an ISA in preference to any other investment vehicle (eg GIA or whatever Vanguard or other companies would call them)? I'm thinking of a scenario outside of an 'interest' generating capability, so the £1000 tax free interest limit wouldn't apply.

I'm not a pensioner but am trying to give some guidance to someone who is and I'm sure there should be a good reason to transfer £20k funds (annually) into an ISA, but other than the £1000 interest limit, I can't think of any.

[Mr Pointy]

S6PNJ said:

Quick (hopefully) question - is there any benefit to a pensioner holding money in an ISA in preference to any other investment vehicle (eg GIA or whatever Vanguard or other companies would call them)? I'm thinking of a scenario outside of an 'interest' generating capability, so the £1000 tax free interest limit wouldn't apply.

I'm not a pensioner but am trying to give some guidance to someone who is and I'm sure there should be a good reason to transfer £20k funds (annually) into an ISA, but other than the £1000 interest limit, I can't think of any.

Not sure I understand the question but realised gains in a GIA are subject to CGT (although there is an allowance of course) & gains in an ISA are completely tax free.

How about "the advantage is you don't have fill out a self assessment tax form"?

[S6PNJ]

Mr Pointy said:

S6PNJ said:

Quick (hopefully) question - is there any benefit to a pensioner holding money in an ISA in preference to any other investment vehicle (eg GIA or whatever Vanguard or other companies would call them)? I'm thinking of a scenario outside of an 'interest' generating capability, so the £1000 tax free interest limit wouldn't apply.

I'm not a pensioner but am trying to give some guidance to someone who is and I'm sure there should be a good reason to transfer £20k funds (annually) into an ISA, but other than the £1000 interest limit, I can't think of any.

Not sure I understand the question but realised gains in a GIA are subject to CGT (although there is an allowance of course) & gains in an ISA are completely tax free.

How about "the advantage is you don't have fill out a self assessment tax form"?

Thanks - I realise GIA are subject to CGT but as long as the CGT doesn't exceed £12,300 (or whatever the correct at that period in time) per annum, is there any thing else to be aware of? Does it have any bearing on IHT / estate worth etc should the pensioner....come to pass....?

[Mr Pointy]

S6PNJ said:

Thanks - I realise GIA are subject to CGT but as long as the CGT doesn't exceed £12,300 (or whatever the correct at that period in time) per annum, is there any thing else to be aware of? Does it have any bearing on IHT / estate worth etc should the pensioner....come to pass....?

No, both are part of the estate for IHT purposes.

[S6PNJ]

So other than the £1000 bank/saving interest and £12,300 CGT on realised assets, there's no other reason to swap funds from a GIA to an ISA. Does CGT come into inheritance on a deceased estate when realising GIA funds?

[alfa aficionado]

I have an existing S&S ISA, to which I’m contributing monthly but will still be beneath the £20k annual ceiling. Can you add further funds to this, i.e. I’m purchasing a particular unit trust via this method - could I also then add a lump sum into a different unit trust or ETF to bring the annual investment up to the £20k limit?

I presume it would have to be through the same platform / provider?

Can you switch providers and still do the above?

[highpeakrider]

I’ve got a IM ISA and also a Marcus cash ISA, maybe a daft question but once we get to April can I use both as long as I don’t exceed £20K in the year?

[Intelligent Money]

alfa aficionado said:

I have an existing S&S ISA, to which I’m contributing monthly but will still be beneath the £20k annual ceiling. Can you add further funds to this, i.e. I’m purchasing a particular unit trust via this method - could I also then add a lump sum into a different unit trust or ETF to bring the annual investment up to the £20k limit?

I presume it would have to be through the same platform / provider?

Can you switch providers and still do the above?

HI Alfa

Apologies for the delay in replying.

You can only contribute to one S&S ISA per tax year. i.e. contribute to one provider/platform
You can hold any asset that the provider allows within that ISA so you can hold multiple unit trusts, ETF's, funds, shares etc within the ISA wrapper.

You can switch providers at any time but if you have contributed to a provider in a tax year and then transfer you cannot make additional contributions to the new provider until the next tax year.

Cheers

Nik

[Intelligent Money]

highpeakrider said:

I’ve got a IM ISA and also a Marcus cash ISA, maybe a daft question but once we get to April can I use both as long as I don’t exceed £20K in the year?

Hi highpeakrider

I'm not 100% what you are asking.

You can contribute to one S&S ISA and one Cash ISA in a tax year and the maximum combined contribution is £20k.

Hope that answers your question, if not please just let me know

Cheers

Nik