Starting a share syndicate
Discussion
I wondered if starting a share syndicate is possible. Basically people at work have had enough of the lottery (i.e. not winning 
) and want something a little more stable.
Anyone done one, how do they work and what are the best options for buying and selling. Probably looking at £200 invested per month in blue chip companies on the Ftse. How does that work for tax etc ?
) and want something a little more stable. Anyone done one, how do they work and what are the best options for buying and selling. Probably looking at £200 invested per month in blue chip companies on the Ftse. How does that work for tax etc ?
You would be starting what's known as an 'Investment Club'. There's tons of information here: http://wiki.timetotrade.eu/index.php/How_to_Set_Up...
Timetotade also has tools for working out capital gains liability, issuing periodical unit valuations and all sorts of other stuff.
Being an investment club you'd probably want to trade through a retail broker, most of which have online interfaces. Try the likes of SaxoBank or SelfTrade.
One thing I would be really dilligent on are your constitution and rules and once the club is set-up I would be careful how you open it up to new members. Unless you're FSA registered you can't advertise it (including simply inviting someone to join it - they have to request to join) and there are all sorts of hurdles and hoops to jump through to be able to buy shares on behalf of someone else (ie other club members). Get your constitution right though and you'll be fine.
Timetotade also has tools for working out capital gains liability, issuing periodical unit valuations and all sorts of other stuff.
Being an investment club you'd probably want to trade through a retail broker, most of which have online interfaces. Try the likes of SaxoBank or SelfTrade.
One thing I would be really dilligent on are your constitution and rules and once the club is set-up I would be careful how you open it up to new members. Unless you're FSA registered you can't advertise it (including simply inviting someone to join it - they have to request to join) and there are all sorts of hurdles and hoops to jump through to be able to buy shares on behalf of someone else (ie other club members). Get your constitution right though and you'll be fine.
Lots of hassle.
Filling the forms for everyone every year.
Getting together all the correct identification forms etc (passports/utility bills) sending them to the broker to get the account open.
Getting the constitution correct and the broker should request this also.
Once all done and dusted though, it's easy to run...buy low...sell high..
We had £70k under our management last year, 11 of us putting in £25 a month.
Now have £45k
!!
Filling the forms for everyone every year.
Getting together all the correct identification forms etc (passports/utility bills) sending them to the broker to get the account open.
Getting the constitution correct and the broker should request this also.
Once all done and dusted though, it's easy to run...buy low...sell high..
We had £70k under our management last year, 11 of us putting in £25 a month.
Now have £45k
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