Gifting shares to grandchildren

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I'm thinking about gifting share certificates to my grandchildren. Has anyone done this using the usual stock transfer forms sent to the registrar and were there any problems.

I'm aware of capital gains tax and inheritance tax considerations but the amounts will be less than my annual allowances. It's really the practical aspects I'm unsure of. I've used transfer forms several times before to a spouse. That was exempt from any tax implications and straight forward. One issue is the child needing a bank account to accept dividend payments, They will only be 5 years or 7 years old when I plan to start doing this.
 

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Sanna! my British brother .

Please give certificates to small ones , It will be most precious for themm . You can transfer dvidenz to my account and i will give them money when they is 21 years old.

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PM my UK agent Petrol Pete for bank detils.

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Skd884

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Simple to do -


What shares are they?

I invest for a living and have plenty of knowledge, i purchased Avacta shares 12 months ago and still hold, currently sitiing on a 1800% gain.

You might be better of selling and re investing elsewhere in their names via a junior isa etc.
 
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MrGreedy

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You might be better of selling and re investing elsewhere in their names via a junior isa etc.
I was also wondering this. It's what i do for my child. Obvs there's stamp duty and a tenner in fees, but very easy.


....although

The bulk I have just put into my own name, as I don't like the idea of £100k maturing and being accessible by an 18 year old. I think the risk of reckless spaffing of cash is high, and when young, you can't have any idea about how savvy (idiotic) they will be when older.
 
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What shares are they?

Something I already hold certificates for and relatively steady for the long term like GSK or national grid.

I particularly want to gift existing certificates because I'm bumping up to the dividend tax allowance.
 

W1ghty

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You could start a SIPP for the kids , that way the government adds 20% to the investments . Not sure if you can transfer the existing investments or you have to sell and give them money .
With the SIPP you can get relatives to add money as well , the beauty of the SIPP is the little so and so’s have to wait till 57 at current rules . This stops them spending it at 18 on a couple of professionals in a hot tub in Las Vegas :cool:
 

l5foye

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Simple to do -


What shares are they?

I invest for a living and have plenty of knowledge, i purchased Avacta shares 12 months ago and still hold, currently sitiing on a 1800% gain.

You might be better of selling and re investing elsewhere in their names via a junior isa etc.
As far as I can see Avacta shares are trading at 245.8p. What I cannot see is how a gain of 1800% has been made.
 

W1ghty

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Wow, that is some mark up on a £200 investment.

what’s the next tip 😃🏴‍☠️ as missed last years
The next tip is don’t buy individual shares :cool: . Just funds and investment trusts .
 

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Unless they've got six or seven figure sums of money to play about with, the two key pieces of advice are

To set up an ISA for them, so that all future Capital gains avoid tax while keeping transaction charges under control and reporting simplified; and

To only invest in diversified Investment funds, rather than individual shares. (Speculating in individual shares is a project for inside traders or the rich, not for widows, orphans, or even pensioners. Seek a steady 10+% compound return rather than anything flashy)
 

Skd884

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Unless they've got six or seven figure sums of money to play about with, the two key pieces of advice are

To set up an ISA for them, so that all future Capital gains avoid tax while keeping transaction charges under control and reporting simplified; and

To only invest in diversified Investment funds, rather than individual shares. (Speculating in individual shares is a project for inside traders or the rich, not for widows, orphans, or even pensioners. Seek a steady 10+% compound return rather than anything flashy)
The worst advice ever, i invested a tidy sum in to Avacta at 14 21 and 23p, check the price today, i was neither rich or had any insider info.

A life without risk is a life not lived, but each to their own.
 

l5foye

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Purchased at 14p last year, a few members here can confirm.
If purchased at 14p and current price is 245, then percentage profit is 1650%. The shares in Feb 2020 were 24.45p , in April 2020 59.50p.
 

Skd884

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14th March 2020 they were circa 16p and touched a intra day low in the 13s that week, if you want proof of my holding pop over and have a whisky.

1618743723314.png
 

Skd884

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Fyi - Told everyone here at the time -



1618744068232.png
 

MikeInWimbledon

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The worst advice ever, i invested a tidy sum in to Avacta at 14 21 and 23p, check the price today, i was neither rich or had any insider info.

A life without risk is a life not lived, but each to their own.
I worked in the industry for 20 years, and saw many such fools burn their fingers.

Buy individual shares if you have insider information and know that you won’t get caught.

If you’re certain of your expertise, borrow to the hilt and bet the farm.

Personally I’m happy with the 20+% compound interest, after tax, that I’ve seen these last two decades, and I suspect these grandchildren would be as well.
 

Skd884

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Bet the farm, now we are on the same page

20% compound is superb most will never get near that sir, well done.
 

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