We need your help! Fractional Shares in ISAs

My petition is still going.

Maybe we can get more people to sign it.

Yes for the record I know that ‘its in the pipeline’ but the more people make noise about it, the quicker it will (hopefully) get parliament and HMRC and other parties involved in decision making to act.

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I haven’t sold my shares, but I’ve sold every single fractional “extra bit” I owned, so only have whole shares.

Where I didn’t have a whole share, I bought more to make it whole (and then selling any fractional bits over).

I did have to add more money as one of the shares needed over £300 to make whole, which I didn’t have sitting in my ISA! :smiley:

I’m not sure if there’s a minimum on the fraction you can sell but I sold bits for 23p and 56p recently.

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I did same a while back Weenie…round up and then sell the spare fraction or round down, as desired :blush:

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I think minimum trade is 10p.

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I’ve not had this email, nor have I had a notification in-app. I should get this, right?

We’ve sent this out to all customers with an open and funded ISA via email. Have you opted out of any communications? You might have been excluded in that case, though we sent this as a service message so it should have gone to most ISA customers!

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I have an open and funded ISA.

I had issues with my email last year around May I think (had a lot of emails bouncing when sent to me, ended up moving hosts), looking back through my emails I’m still getting “you’ve received investment income” and I even got an updated T&C email on 1st Aug 23, but I don’t get anything else. Should I have had this as an in-app notification too?

Inbox prefs shown below, in case it’s relevant:

Let me investigate this!

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Agreed. Let users have the option to buy the “extra bits” to round up to whole shares seems better than being forced to sell the “extra bits” by the platform.

Hi all - appreciate all the comments and suggestions.

When it comes to the mechanism we’ll have on offer, it’s simpler (and on balance a better experience) to sell down fractional components rather than “buy up”. The way orders work is that you’re typically quoted an estimate for the number of whole and fractional shares you can buy for a £ amount. Between hitting buy and the order going in, the price or FX rate can move, meaning you may be left with a fraction even after trying to buy up to the next whole share. Of course, you can do this and then sell down the fraction if you prefer (until the order flow is changed in the coming day or two).

We appreciate neither scenario is particularly optimal, but we wanted to implement a solution that is simple and intuitive.

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Well just found out about the inability to buy whole shares when fractional shares are available too. Nothing like more aggravation is there? The ISA stuff with HMRC for one.

you can buy whole shares with Limit Buy (unless I missunderstood).

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Not on my basic plan. Guess it’s just UK stocks on FT for me then.

What’s stopping you buying them in the GIA? The update for whole shares only affect the ISA.

From the email sent out:

For ISAs, buy orders (including recurring orders) placed by pound (£) amount will be rounded down to the nearest whole share. You will not be able to buy fractional shares in your ISA. It will be possible to sell fractional shares in your ISA so that you can bring your holding to a whole number, if you choose.

Fractional shares can continue to be bought and sold in your GIA and SIPP.

You’ll be able to select whether you want to buy whole or fractional shares when you’re buying in your GIA or SIPP. The update will be shipped shortly so you’ll see this functionality regardless if you’re on Basic or Plus.

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@acamp

something wierd is happening - earlier I used the new trading options to buy 2 shares exactly (choosing by £ or Shares obviously made no difference asboth would round down to nearst whole shares)

Now that option has dissappeard and im able to buy fractionals again.

We just turned on the feature flags around the US market open following some testing and we noticed a bug impacting a small numbers of orders. So we turned the flag off while we resolve this. It should be back on shortly.

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What was this bug? I couldn’t instant buy whole shares it kept failing for me.

I gave up and had to do a limit order which feels weird having to specify the $ share price followed by the maximum you want that to be in £.

There is no hint until you get something wrong and it suggests in red text.

The issue is now resolved and we’ve set the flags live again. Apologies, there were some edge cases with our client platform that were causing some orders to fail.

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I didn’t know the round-down feature was live. I was expecting some in-app message about it…