How To Transfer a Stocks & Shares ISA

An Individual Savings Account (ISA) is like a tax invisibility cloak. You don't pay tax on any investments held in the ISA. Lots of companies offer ISAs, but if you are not happy with your existing provider you can switch to another one. In this video, I show how to work out the cheapest way to do the transfer without losing your ISA allowance.
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[@misfit2022]

Yes I liked this as thinking of opening an ISA in 2021 with Vanguard and at a later date may decide to transfer some VG funds I already have on another platform.

[@chrisfarland8075]

Just a head's up to say Vanguard only allow partial transfers from other Vanguard accounts. You can only transfer in from other providers the full value, whether thats cash or s&s.

[@Pensioncraft]

Hi Chris thanks for sharing that.

[@edlee9131]

What will happen if you did open 2 platforms of stocks and shares ISA in same tax year and payed into it?

[@garyjames5790]

Brilliant as ever

[@Pensioncraft]

Thanks @garyjames5790

[@macg33zr]

Thanks for the video, interesting to see how it works - it seems very easy. The point about being out of market when transferring to cash is a good one. I have a FTSE all share tracker with L&G direct. The charges with Vanguard for a fund on the same index are a lot less, but I would have to transfer as cash. With markets and £ being a bit volatile at the moment I don't really want to risk it! Also thinking how much of my portfolio I want to hold in Vanguard funds.

[@Pensioncraft]

Hi macg33zr, paying more than 0.2% per year for a passive tracker is a thing of the past and the continued existence of such funds depends on people not knowing they are overpaying. You can't control markets but you can control how much you pay in fees which is why I try to keep my fees to an absolute minimum. In a volatile market, the chance of markets rising or falling while you're in cash is 50/50 and unlikely to be huge. The typical move of the FTSE All Share over a 3 week period is plus or minus about 3% to 4%. Give me a call if you want to discuss ramin.as.me/ Thanks, Ramin.

[@jononeill2008]

Hi, interesting video thanks. Theoretical question, lets say Vanguard do start offering SIPPs. I have a sipp with Fidelity which only holds vanguard funds. Can you for-see a simple transfer similar to an isa transfer for a sipp? Thanks

[@Pensioncraft]

Hi Jon, the considerations for transferring a pension are much more complicated. For example, if you are lucky enough to have a defined benefit (final salary) pension it can come with benefits you would lose if you transferred to a SIPP, such as inflation-linking or benefits for your spouse and dependents. But if it's a matter of transferring from one SIPP provider to another that's much more like transferring an ISA, although it takes longer. Three or four weeks is a typical time for an all-cash SIPP transfer according to this article in Shares Magazine www.sharesmagazine.co.uk/article/is-it-worth-moving-sipp-provider-and-how-long-does-it-take and it can take months if it's an asset transfer. Thanks, Ramin.

[@jononeill2008]

Thanks Ramin

[@step2424]

So if you transfer into cash you still keep the isa wrapper and then you can choose a new fund?

[@1TARANPREET]

Hi there I would like to know when I transfer my stocks and shares from one platform to another,how do they transfer whole fund manager ?what if new platform doesn’t have fund Manager which I have in my existing isa account?like I invested in Jupiter uk mid cap ,share uk and fidelity Asia etc? Thanks

[@oumuamua1963]

I made the mistake of withdrawing my vanguard funds into my bank account. I still have 10k allowed contributions for this year. I want to open my Isa with Hargreaves and landsdown. Since there is no money left in my Isa can I just open a new with H/L or do I still have to transfer and will it be instant since there no cash in my Isa now

[@exwhyz33]

an excellent video

[@Pensioncraft]

Thank you I am glad you enjoyed it

[@SerG-ez2po]

Hi, in the hypothesis someone has got a big inheritance and wants to invest in stocks and share, maybe some gold and bonds as well but maxed already his/her ISA, could this person open a company that holds these assets instead of the person? Could that help with taxes from CGT and dividends? Hope you can give me a clue or a website I can look into, been looking online but I wasn't very lucky.

[@chrisfarland8075]

Hi Ramin this is a great video and I have a question for you. I opened vanguard 60/40 lifestrategy ISA at the end of the last tax yr and now want to transfer part of a bank cash ISA into the account. Once Its transfered in (say £5000) would I have to invest that money straight away or is it held in the "avaialble cash" section and I could drip feed this money into my lifestrategy 60/40 as and when I liked ? Many Thanks

[@Pensioncraft]

Hi Chris, thank you! You don't have to invest the money straight away. It's held as available cash, as you say. Then you can drip feed it into investments if that's what you want to do. The reason most people give for getting fully invested straight away is that i) markets tend to drift upwards over time so you usually get the highest return by investing as soon as possible and ii) many funds generate income which you won't get from the cash in your account. On the upside for cash - it doesn't crash. So if you think equity markets might be about to tumble you can average into your investment gradually by drip-feeding as you suggest. Instead its value is gradually eroded by inflation. Thanks, Ramin.

[@chrisfarland8075]

@PensionCraft ​ Great, thats cleared things up ! Cheers Chris.

[@sachmedia1]

What about a junior cash isa to a junior vanguard stocks and shares isa. So the real question is the transfer of a cash only isa to a stocks and shares isa?

[@Pensioncraft]

Hi sachmedia1, it is possible to transfer a Cash ISA to a Stocks and Shares ISA, but I'll double-check with Vanguard whether this is also the case for Junior Cash ISAs being transferred to a Junior Stocks & Shares ISA. Thanks, Ramin.

[@Pensioncraft]

Hi sachmedia1, you can transfer a Cash Junior ISA to a Stocks & Shares Junior ISA. The reply from Vanguard support was as follows: "You are certainly able to transfer a Cash Junior ISA across to a Vanguard Junior Stocks & Shares ISA, it is just important to note that this must be transferred in full including current and previous years. Just so you know, your child can have a cash Junior ISA and stocks & shares Junior ISA open in the same tax year. However, the total contributions to both would be subject to the £4,260 annual allowance for 2018/19. To initiate a Junior ISA transfer, you can click on "Open New Account", and choose "Transfer" next to "Junior ISA". Then you can follow the transfer journey and enter the details required to submit the request. The transfer process will then commence, which can take between 15-30 business days."

[@thenightshelter8127]

Is it possible to transfer an ISA abroad? I'll be moving next year, indefinitely.

[@Pensioncraft]

Hi Eddy, the restrictions if you move abroad are here www.gov.uk/individual-savings-accounts/if-you-move-abroad It says "If you open an Individual Savings Account (ISA) in the UK then move abroad, you cannot put money into it after the tax year that you move (unless you’re a Crown employee working overseas or their spouse or civil partner). You must tell your ISA provider as soon as you stop being a UK resident. However, you can keep your ISA open and you’ll still get UK tax relief on money and investments held in it. You can pay into your ISA again if you return and become a UK resident (subject to the annual ISA allowance)." Thanks, Ramin.

[@attilio7]

You only gave information about Fund transfer,not individual stocks.I had to research elsewhere to get the correct advice.Do you not realize that there are many investors like me who pre-fair to pick their own stocks.I think you should have said this also applies to individual stocks.Example: 'In specie' transfers This is the industry jargon term for a stock transfer and is also sometimes called 're-registration'. It means that all the investments you hold in your stocks and shares Isa are transported to your new provider - you stay invested throughout the process. If you're happy with your investments, this type of transfer makes sense, although it is likely to take longer, typically four to six weeks, and you might have to pay exit fees to your existing provider.

[@rfeng5734]

Very useful video and clearly explained , was nutmeg giving you problems or very expensive fees?

[@Pensioncraft]

Hi Rf Eng it was the fees that I found excessive for my fixed allocation portfolio. I was paying 0.75% which breaks down to 0.45% for Nutmeg's management fee, 0.21% for the underlying ETFs, and 0.09% transaction fees. The LifeStrategy fee is 36% lower. It's just 0.48% in total (0.22% management fee, 0.15% platform fee, 0.11% transaction fees). The support at Nutmeg was amazing and the platform was really easy to use but I can get the same thing for a third less in fees. I have to applaud both of the platforms for fee transparency. You can get a breakdown of Nutmeg's fees here www.nutmeg.com/costs-and-charges and Vanguard's here www.vanguardinvestor.co.uk/content/documents/legal/vanguard-full-fund-costs-and-charges-2018.pdf

[@chrisapphillips]

Thanks for the video. Nutmeg have 'pots' that you can split your ISA into. I'm guessing that when you transfer you transfer all of these at once?

[@mindyourmind81]

Very informative thanks, been watching you for sometime now, a quick question, If a transfer my previous ISA allowance from previous tax years to another provider this tax year. That shouldn't affect my tax allowance this year, right? Meaning that it would not deduct from this year's allowance. Thanks

[@rich3222]

Thanks for the video, If I have been paying into my current stocks and shares ISA this tax year ,and do a transfer are there any rules to say I cannot so this?

[@philipcurwen9316]

Just to make sure; while you can only transfer all Vanguard funds held elsewhere, you can still just transfer a part of your money held in another broker's account, yes?

[@Tomherbs]

Good video Ramin, how do you rate vanguards investment products?

[@Pensioncraft]

Hi Tomherbs, like good government or a good operating system their products provide me with what I want cheaply. I want exposure to the largest global markets and they provide that. The support is excellent - I pass on a lot of the questions I'm asked by PensionCrafters to them and they usually reply the same day. Do you use them?

[@Tomherbs]

@@Pensioncraft I haven't opened an account with them yet, thinking about it though, I like their products and charges system. They only thing stopping me at the minute is the high valuation of world indexes, if a correction happens then I would invest with them straight away.

[@Pensioncraft]

Many PensionCrafters tell me the same thing. The problem is that it's hard to time the downturn. February looked like a turning point but it turned out to be just for Emerging Markets. The US then got the boost from tax cuts and now the economy there looks very healthy so its rally _could_ power on for a few more years. Personally, I've derisked my portfolio because of the valuation issue as I share your concerns. Thanks, Ramin.