PIE-EATER
16 May 2017
Re: new shares apology (if your estate was big enough so that applied) but you could invest in BPR AIM stocks e.g. ZYT, ACRL, GTLY etc which are all killed to be qualifying and have yields north of 3%..Apology, should say LIKELY to be qualifying and have yields north of 3%PE
PIE-EATER
16 May 2017
Re: new shares Strapuk,Generally, yes you are correctHowever a couple of little tweaks may be considered...1) If your ISA has BPR qualifying AIM shares they will be exempt beyond 2 years holding...so if you don't need to run the ISA down why do it?2) If your other sources of income don't make up your personal allowance then an UPFLS may be beneficial...e.g. (using simple numbers cos the coffee still hasn't kicked in from this morning!) lets say your income is £5500 pa from your company pension after you have taken any lump sums etc and you are not yet getting state pension. You now have 6000 unused allowance for income (personal allowance £11500 this year). You could take £8000 as an UPFLS (uncrystallised pension lump sum) 25% is tax free leaving £6000 to pay tax on - but wait! that is the amount of your outstanding allowance so no tax to pay. This could then be invested in an ISA which would be subject to IHT (if your estate was big enough so that applied) but you could invest in BPR AIM stocks e.g. ZYT, ACRL, GTLY etc which are all killed to be qualifying and have yields north of 3%.....which would be tax free. This would be useful if the contributions you made were out of higher rate income when they went in but if you have managed to go to basic rate or nil tax status when first retired. When your income without your SIPP becomes taxable then revert to using just the ISA for "income"...whether that is divis or capital withdrawals Obviously if you are above the the personal allowance you could still use this trick if you also invested during the year in VCTs as you would get 30% relief on those...but I digressThe key thing is to plan well ahead. I was lucky in that I hoped the pension freedoms would happen as far back as A-Day in 2006 but never fully believed it. I still took advantage of allowances etc and so am in the fortunate position that I won't be taxed until I reach 67/8 and get some state pension. The fact that I was a pension trustee for 10 years didn't hurt either.PE
PIE-EATER
16 May 2017
Re: new shares Kool KeithYes they are keeping it 10 years before state pension age.Re the 50-55....that was EONS ago wasn't it?......2006 sticks in my mind with "A" dayPE
strapuk
16 May 2017
Re: Divi No ... [link] New Shares will rank pari passu in all respects with the Existing Ordinary Shares, save in respect of the Q1 2017 dividend of 1.60 pence per Ordinary Share declared today for the three month period to 31 March 2017."
TX2
16 May 2017
Re: Divi New shares do not qualify for this divi.
Perle Blanche
16 May 2017
Divi Are the new shares included in the forthcoming divi? 22nd May
CatoCR
16 May 2017
Re: new shares Eadwig - Hargreaves Lansdown happily take their massive fees on both my SIPP and my ISA direct from my non-sheltered trading account as long as I remember to fund it. I don't use the account for anything else.
strapuk
16 May 2017
Re: new shares Hi KK, I'm sure someone will correct me if I'm wrong, but my understanding of the way things stand currently, one is better off running down any funds in an ISA or other funds, before touching a pension pot.The inheritance tax rules of untouched pension funds are now somewhat more attractive than previously. Of course, on death, one's ISA can now effectively be passed onto one's spouse without loss of the ISA tax free status, which can complicate the issue a bit. At least we have more favourable options than a few years ago.Currently have BBOX in my ISA not my SIPP - although for no obvious reason!
Kool Keith
16 May 2017
Re: new shares Pie Eater, I think the 5 years comes from once being able to access a private pension at 50 then pushed out to 55, are they moving that age to 57?When I first started my pension it was 50 always the dream haha, 55 looks more plausible but still probably a dream.
strapuk
16 May 2017
Re: new shares Good write-up pieeater, many thanks. I also applied for the excess and got 75% of the application.
strapuk
16 May 2017
Re: new shares I'll need to check Eadwig. TBF to HL it may be capped at 200GBP per annum but it is more than II. I actually do keep non-ISA account with HL and only have shares in it - for which they charge me nothing! Dealing costs are reasonable at 11.95 but I do wonder how they make that service pay. As I say, can't fault HL on customer service.
PIE-EATER
16 May 2017
Re: allocation Eadwig....did you apply for excess?
PIE-EATER
16 May 2017
Re: new shares Eadwig,Sorry, a bit confused about your comments...(coffee not kicking in this morning!)You say they have already added 5 years to minimum age plus another 2......? I hope you are not talking about state pension age here? I think there is a commitment not to increase age at which you can draw your personal pension more rapidly that the rise in state pension age.The 0.45% becomes more expensive than the £96 at just over £21K...assuming you don't deal. If funds are used it will probably be effectively more than that because HL have small rebates on management charges beyond II charges.....and dealing in funds is effectively free.Limit orders don't expire after just one day....you have other options.....the 2 standard ones being 1 and 7 days but it can be longer (haven't checked recently because I don't use limits with them....I only use them for funds)The there thing to remember is the charges when you want your cash when you retire.....free with HL as all included in 0.45%.....no drawdown fee or anything.....and very flexible.Do I think that HL are the Bees Knees? No, they are expensive, and I have told them so, but they are the best and most dependable I have come across (For various reasons with ISA's, Sipps, trading accounts and trusts for several people I have used HL, Halifax, Chase de Vere, II, Barclays, TDW, iWeb, X-O, AJBell just off the top of my head and HL are unfortunately in another league for dependability and accuracy in my experience - others may disagree)So, what do i do?HL - Fund Sipp and Fund ISA....and yes they are each above a small mid five figure fund...X-O ISA (basic trading account.....absolutely no frills but ok and and slightly bigger than the HL ISA)AJBell Sipp for non-funds...ie shares ITs and ETFs....again bigger than HL SIPPHalifax....small ISA for specific family reason......Sometimes it is best to mix and match.....just like shares. I found, that for my purposes, no single provider could do both funds and individual equities as well as I wanted so have split them....eg I wouldn't hold a property fund but would tend to hold bonds in a fund.....and the other way round for ITs due to liquidity and the range of fundsHope that helpsPE
Eadwig
16 May 2017
Re: new shares strapuk, "I suppose that's what you get for 0.45% pa v £96 pa SIPP"Is that 0.45% of the total of your SIPP value pa? That seems extraordinarily expensive to me (I've only run my SIPP less than 4 years so don't have a great deal of experience with their charges, you understand).I only have a very small mid-five figure SIPP because I only ever paid into it twice, with no real conviction the government will ever let me get the cash out (I've been vindicated so far, they already added 5 years to the minimum age I can withdraw, plus another 2 that I dodged due to my age) and I expect that to be added to in the next parliament).Even so, 0.45% makes me eyes water compared to £96 p.a. at iiBesides that, I've been asking around a little bit because you're not the first person to recommend a look at them, and they seem quite good in other areas. I certainly wouldn't move my SIPP to them though.I assume that 0.45% comes out of the SIPP account too, whereas on ii it comes out of your trading account. Put the two same exact SIPP portfolios alongside each other in ii and HL and over a few years (and that's what SIPPs are all about after all) I think the difference would be very large in favour of the ii SIPP total value.I've also been told the limit orders on Uk orders expire after just one day? I'd be absolutely lost if that were introduced at ii. I do almost all of my buys and many sales via limit orders.
Eadwig
15 May 2017
Re: allocation Haven't seen the excess shares yet, but the guaranteed offer was increased by same ratio as the 200m to 350m the board announced they were going for. I.e. Original number x 1.75. Trouble is, ii took my payment for them when I first entered it, then charged me the full amount for the shares finally allocated (I.e. additional 75% plus the 100% which they had already debited but not allocated any shares for). I'm hoping when I log back in they will have reversed the first payment. If not I'll have to chase them up again ... <sigh>.
