Buying unit trusts on the internet

Perhaps I'm being unrealistic, but I have an equity mini ISA with an online financial institution. I can't seem to work out why it takes so long to but unit trusts. The FAQs state that the shares need to be registered and even after the sale is processed it takes that couple of days for the shares to appear in the account.

It usually takes over 24 hours before there's an acknlowledgement the sale is nopt going through- surely this should happen at the first avaiable valuation point.

Or am I being unrealistic and all unit trust ISAs work a bit slowly.

Reply to
Cyber Scout
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One thing that I like about Investment Trusts is that you buy and sell them like ordinary shares because they are ordinary shares. With Unit Trusts you have to deal with the managing company. If one company was worse than the others they would want to catch up, but I think what you came across is normal for Unit Trusts.

Reply to
David

Do you know how unit trusts work? They normally price the units at 12 noon each working day, and that price applies to all orders placed in the previous 24 hours. This is known as "Forward Pricing". The other way, where the price is fixed and all orders received after that until the next price fixing is known as "Historic Pricing".

If you put your order in before 12 noon, then the deal should be handled soon after 12 noon. After 12 noon and the deal will be done the following working day, which could be Monday if you place the order late on Friday.

The ISA wrapper should have no effect, unless the ISA manager is not the unit trust manager, when there may be a further delay.

Reply to
Terry Harper

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