Hello,
I’m new to Freetrade and have opened a stocks and shares ISA account. I’ve deposited my tax free government allowance of £20k into the account and then invested the money into a Vanguard S&P 500 VUSA ETF.
I have a few related questions:
Let’s say for the sake of example the investment of 20k miraculously rose to 21k tomorrow. If I click the ‘sell’ button within Freetrade will this take the money out of my ISA account, or does it just take it out of that particular investment?
Part of the reason I’ve asked the questions above is, I want to understand if I’d be able to sell the hypothetic 21k of stock (without taking it out of the ISA account) to then reinvest back into different stocks within the ISA and If I can, whether I can do this without being penalised by any government tax on that earning and it’s reinvestment? Or at the point of selling the 21k and reinvesting it within different stock within the ISA is that considered going over the government free tax allowance of 20k?
I hope that makes sense. Any help most appreciated!
Thanks,
Rolo.