Newbie Buying Certificated Shares

Jun 05, 2012 3 Replies
A

Hi,



Apologies in advance for the newbie question.



I have a moderately large lump sum to invest. I've decided to buy shares in FTSE 100 companies and hold them for the long term. I have pencilled in the amounts I want to invest in each of my chosen companies.



I think I should hold the shares in certificated form so I don't have to worry about on-going account charges, inactivity fees or stockbrokers going bust, and also I'll be able to sell them where and when I want.



In view of the sums involved, it seems to make sense to pay flat rate commission rather than a percentage. I have no problem waiting for a bulk dealing day rather than buying immediately.



Can anyone recommend appropriate share dealers, either internet or telephone based?



Many thanks,



Adrian



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T

If you're mainly going to buy and hold, then the commission rates shouldn't really matter too much. I'm sure places like

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will give you plenty of leads. Being a very infrequent investor, I use Lloyds Bank internet service. They charge a flat rate of 27.50 ukp ( but there may be a size limit for this, don't know,) for certificated shaares. I'm sure you can do better, but it's a starting point.

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A

Thank you, that's very helpful.

27.50 ukp sounds quite reasonable.

Adrian

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After fighting my way through Lloyds' bug-ridden system, I found their on-line dealing limit was too low.

The fool seem to be plugging their own share-dealing service, and a site search failed to turn up useful leads.

thisismoney pointed me to share.com for certificated dealing. I failed to find any evidence of a direct service on their site, but their charges page lists a £15 charge for transferring shares to certificates. I'm not sure I want the hassle of opening an account, buying shares, converting them to certificates then closing the account.

Adrian

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