Gifting stocks


#1

I’m not sure on the legal aspects etc as I’m very new to this world, but was thinking that it might be interesting to have a gift option. For example, if A wants to buy B stocks they could gift X amount of shares. Not the most exciting gift, but a great way to get someone started on finance or if they’re like me, they just might prefer it.

As long as that person has an existing Freetrade account, then hopefully it’s not a problem?


(Kenny Grant) #2

I really love this idea (perhaps require giftees to have or open an account before any transfer takes place and structure it as a sell on account 1 then buy on account 2 to smooth out legal difficulties, so essentially gift cash behind the scenes).

It could be a great driver for growth.


#3

Thanks Kenny :slight_smile: It could be a great driver for growth was something I was thinking of too :wink: I like the behind the scenes transaction too.


(Harry) #4

I’m a fan of this idea - there was a discussion about this previously, I can’t find or remember the outcome but it did have support. I think there was a n issue with KYC etc and creating an account on behalf of someone else, but the concept is certainly good!

Work around could be the equivalent of a store gift card for a particular stock or other? Or a prefunded account.


(Kenny Grant) #5

Yes I remember that too, not sure where it is. I do think any issues could be worked around - just treat it as an invitation rather than a gift, buy the share for user A, wait until after the user B signs up and gets their account, then after KYC you can transfer the share (or sell then buy if necc.). Surely something like that could work and I think the emotional part of it is really important - you’re really giving the gift of investing, not the gift of a particular share(s), bit like grandparents buying premium bonds for their grandchildren.


(Harry) #6

Agreed - long-term ‘sticky’ money if you are introducing JISAs or gifted savings. I’m sure it’s feasible :slight_smile: