Direct Access Broker for my ISAs

[jls483]

I have seen that i-dealing now offer direct access for LSE shares for individual investors.

Does anybody know of any other brokers that offer this for ISA and SIPP accounts?

Thanks,

John.

 

[Mattybuoy]

E*Trade

http://www.etrade.co.uk

 

[Martin Kong3]

I see that idealing.com are also doing a direct access service, however I want to know if their direct access service for ISA and SIPP accounts?

 

[jls483]

Yes i-dealing does - that is why I was asking if anybody else does direct access within an ISA/SIPP.

I can't see that etrade does from their web-site - but I have not asked them yet.

 

[Mattybuoy]

I must say I can't see a huge advantage in having Direct Access in a conventional ISA or a SIPP. Neither wrapper is remotely suitable for trading. Long-only, restricted market, Stamp Duty etc etc.

A possible exception: SIPP CFDS. GNI Touch and IG Markets both offer SIPPs in conjunction with synthetic Direct Access. You will need to be an Intermediate Customer though.

Whether you should even be trading in a pension plan is another matter. Personally I prefer to use Investment Trusts for my long-term savings. The pension is for avoiding poverty in old age, not getting rich ...

 

[jls483]

Mattybuoy,

Thanks for your advice. I have a succesful investment strategy for my ISA that uses limit orders. I am assuming that if I have direct access then I will be even more succesful. If I understand things correctly a limit placed on the order book of the LSE is more likely to be filled than a limit placed with my broker going via a market maker.

I'm also guessing that I won't have problems trying to trade in amount bigger than the maximum market size - which I occasionally run up against.

I agree that I can go long only, but I trade ETFs so there is no stamp duty etc. I am certainly getting better returns than sticking it in an investment trust.

John.

P.S. I got an e-mail recently about a "real" trader callen Darrren who turned his £20,000 ISA into more than a million. I'm sure I've heard about him before - the previous time it stated he had used CFDs within his ISA. I don't think this is possible - presumably the whole thing is a hoax.

 

[JonnyT]

Why shouldn't a Pension be there to make you rich rather than just fend off poverty?

 

[Martin Kong3]

I must say I can't see a huge advantage in having Direct Access in a conventional ISA or a SIPP. Neither wrapper is remotely suitable for trading. Long-only, restricted market, Stamp Duty etc etc.

Well there is just one advantage and that's not worrying about the spread.

 

[Mattybuoy]

Why shouldn't a Pension be there to make you rich rather than just fend off poverty?

I just choose not to assume too much risk in my pension. Maybe it will make me slightly rich in 20 years time

Horses for courses.

 

[Mattybuoy]

Well there is just one advantage and that's not worrying about the spread.

Yes, and that is not, given the afore-mentioned restrictions, a "huge" advantage. Medium-sized perhaps

 

[jls483]

I'm not suggesting putting all of my money into ISAs. I am sure that I am not alone in having some trading cash which I expect large returns and large risk from and having some other cash in an ISA which I expect to make steadier less risky returns from. I think Mattybuoy is one of these people.

For those of us who have some money in an ISA we want to maximise the returns we are making from it. If this mean direct access then we want to take advantage of it.

This does not mean that we are not also messing about with trading at the same time.

John.

 

[Mattybuoy]

Exactly JLS.

I am all for Direct Access. It's not a Holy Grail though, that's all I'm saying.