Stock market dealing

[Justin Passing]

Why the "number of days held"? You pay your 2.2479 on whatever you own on payday, 30 june - ? you don't pay per day.

I've just had my AJBell Tax statement for 2025-6. Yards of it but they do set out all the amounts
ii don't do that

 

[motorbiking]

You’re right. Makes it much simpler.

 

[motorbiking]

So given the ERI exposure, I wonder if I should dump out my CGT allowance worth the day before the ERI fund date to avoid the ERI all together and then repurchase 30 days later? Its a fairly static fund that slowly grows so that might be lower risk and save 2*total holding as dividends to be taxed?

 

[JohnD]

SpaceX is valued at 100x revenue for a loss making business - I'll pass
Antrhopic and Open AI, I already hold stock in the major investors, so will not buy directly on top.

The markets are already heading for adjustment territory.

These giant IPOs form such a large wedge of the market that US and International tracker funds will be obliged to buy them. Despite opinions that they are overblown.

In other news, I sold almost all my remaining international funds earlier this year.

 

[motorbiking]

Everyone with investments gets impacted as the institutions dump holding to buy in.

 

[Wayners]

S&P 500 isn't buying any spacex for a set period after launch. It will be 0.01% when they do or if they do so I'm not bothered...

All seems madness to me. I can't see it ending well

 

[Justin Passing]

So given the ERI exposure, I wonder if I should dump out my CGT allowance worth the day before the ERI fund date to avoid the ERI all together and then repurchase 30 days later? Its a fairly static fund that slowly grows so that might be lower risk and save 2*total holding as dividends to be taxed?

But then you lose the dividend. The fund price may reflect that, but maybe not as the divs on those funds are often tiny. Some aren't though,,,
If you're continuously buying, as i your example, the ball-ache could be working out exactly how many shares you had on that day.
It's simpler to use the Distributing version of the fund, not the Accumulating one. So you see the divis come out as cash. You're paying INCOME tax on it either way.

 

[Justin Passing]

I didn't apply for any SpaceX shares and the broker I used was slow.
People were still buying when it finally opened so I grabbed 1k shares when it bounced after the dip, at 158. As things usually do, it went back up to that original high at 167, so about 5%. It carried on after so I scalped a bit. NB the red volume bars added confidence.

Coulda shoulda woulda made more if I'd held on.
Proper traders would have sold say half at the first real red candle (you look at the Orders coming in to see how big they are) then held the rest during green spells then sold in stages when it slowed down, etc. Then if it dumps you're still up.

Here's proof that you DO need that reason to believe the price is going to go your way. That's your "edge".
Sandisk, (maker of Broad band memory , in huge demand) has been flying up for long periods.

So, it was going up. Normally I wouldn't enter, unless there was a pullback.
Lazily, I just bought during a rise, on "momentum".
You can see I bought at exactly the worst time, at the green line. I set a stop loss, at the orange line.
SOD is alive and well. It stopped rising EXACTLY where I bought, and dropped JUST enough to sell cheap, at my stop-loss.
It often feels like that happens 18 times out of 20. The thing to do is limit the amount of shares you buy, when trying that.
I am sure the Trading212 platform exacerbates the behaviour. It cheats, by always stretching beyond what's on the screen to give you a worse price.. I am moving. IKBR beckons.

 

[Justin Passing]

These giant IPOs form such a large wedge of the market that US and International tracker funds will be obliged to buy them.

Indeed. It's the same to a point with Bitcoin and all the other noddy currencies. "Stablecoin" may be a solution but I'm not interested.

All seems madness to me. I can't see it ending well

Well, there are sensible sounding arguments as to why it can carry on for a good while yet.
But it feels fragile and precarious. Illogical too. NVIDIA, chip king with huge earnings, is down 15% in the last month.
I'm not holding much that's contentious over weekends, for example. Who knows if Trumpiran will blow up?

Looking at the charts for sectors etc, there's NOTHING I would put a shilling on being higher in a months' time than now.

Maybe tech, maybe not, ditto Korea. Health care is the least dodgy, it looks like it could go a couple of percent in a month.. There will probably be a "rotation" into financials or something.

 

[motorbiking]

But then you lose the dividend. The fund price may reflect that, but maybe not as the divs on those funds are often tiny. Some aren't though,,,
If you're continuously buying, as i your example, the ball-ache could be working out exactly how many shares you had on that day.
It's simpler to use the Distributing version of the fund, not the Accumulating one. So you see the divis come out as cash. You're paying INCOME tax on it either way.

It's dividend tax I believe.
The dividends are automatically reinvested, so I get them as they are earned in the fund price. but yes the ERI is a pain.

 

[Justin Passing]

I took you as meaning you would sell the stock before the dividend(reinvestment) date.
Therefore you would not get the dividend.
That dividend does go back into the fund price, so your stock wouldn't gain by that much.

I meant that dividends are taxed as "income" not CGT, but I forgot that the rates are a bit different , apart from the tiny allowance. (£500). 10.75% up to the top of the same basic band limit as earned income tax, 50270.

I never bother with dividends, most of them are 0.02 per share or whatever. It's quite a surprise when £20 or so comes in from something.

It would almost be worth your while having a mirror account at AJ Bell, with the same stocks at 1% the size. Then you could use their Tax calculations!.
iirc the holding fee is 0.25%. I'm going off them because they don't allow things like stop-losses on much.
I intend to look harder into Interactive Brokers.

 

[Justin Passing]

I just tried a few sector comparisons over the past 6 months

Which is why I'm still watching Tech and Korea, which mostly holding the folding.

One has to time markets like these, which I see JD is doing too .

 

[Justin Passing]

I've been rabidly biting at some of these.
You can see, this is where short term investing can pay off.

"3 KOR" only applies to the purple one in the middle ( with yellow dots indicating when to buy or sell).

Tickers are 3x Sandisk, 3x Korea, 2x Micron, 3x semiconductors, 5 x Nasdaq.
Using CFD, there's also 20 x Nasdaq, so it would be half way up the chart.
You can also use 5x any of the others, such as 5x Sandisk etc (not 5x 3x Sandisk.)

All of the "instruments" on that chart, can be used in an ISA, if it's at the right platform.

Stating the maybe not so obvious, 1000% is times eleven. (100% is times 2)