Frequently asked questions
Here we seek to address some frequently asked questions about the HL Fund and Share Account.
If you're unable to find what you're looking for, please do not hesitate to phone us on 0117 900 9000 or email us.
Applying for your HL Fund and Share Account
Can I open an HL Fund and Share Account in joint names?
Yes. To apply for an HL Fund and Share Account in joint names you’ll both need to read and agree to the Key Features and Terms and Conditions. You should then send us an application form, signed by both of you, in the post. The joint holder must be over 18. It is not possible to open a joint HL Fund and Share Account online or over the telephone.
Can an account be opened in the name of an investment club?
Yes. To apply for an HL Fund and Share Account in the name of an investment club, you would need to send us an application form in the post. For more information, please call our Investment Helpdesk on 0117 900 9000 to request our Investment Clubs Application pack.
It is not possible to apply for an HL Fund and Share Account in the name of an investment club online or over the telephone.
Can I open an HL Fund and Share Account on behalf of a child?
Yes. It is possible to open an HL Fund and Share Account under a Bare Trust (Junior Investment Account) where an adult acts as a trustee for the benefit of the child.
To apply for a Bare Trust (Junior Investment Account) you would need to send us an application form via the post, we are unable to accept online or telephone applications. The application form has an account designation box for the child's initials. For further information on investing on behalf of a child, you can download our Investing for Children Guide.
Can I invest on a monthly basis in the HL Fund and Share Account?
Yes, you can set up a Direct Debit to invest into FTSE 350 shares, certain investment trusts, some ETFs and funds on a monthly basis.
You can set up a Direct Debit to invest on a monthly basis subject to a minimum of £25 per investment per month. It is possible to set up the instruction online, either during the application process or once logged into your account online, over the telephone or by sending us an application form.
Payments will leave your bank account on the 7th of each month (or the next working day if the 7th is not a working day) and investments are made on the 10th of each month (or the next working day if the 10th is not a working day).
What is the minimum I can invest in the HL Fund and Share Account?
The minimum amount to open an HL Fund and Share Account is just £1. The minimum lump sum investment into a fund is £100.
Direct Debits can be set up from as little as £25 per investment per month.
Managing your HL Fund and Share Account
How can I add money to my HL Fund and Share Account?
Please read the Key Features then you can top up your account in one of three ways:
Online: If you have online access you can add money to your account using a debit card by selecting the 'Add Money' tab once you have logged in. If you don’t have online access, you can register for online access.
Telephone: Please contact us on 0117 980 9950 with your debit card details to hand.
By post: You can send a covering letter, quoting your client number, and cheque made payable to 'HLAM Client A/C'.
If you're not using a personal cheque (or you’re using a cheque that doesn't have your name printed on it) please ask your bank or building society to verify on the back of the cheque that the money has been drawn from your account. The bank or building society may certify the cheque on the reverse with the wording 'This cheque has been drawn on the account of (your name)'. This must be dated, signed and accompanied by the company stamp
How do I withdraw money from the HL Fund and Share Account?
If you have not already done so, you will need to nominate a bank account into which all future withdrawals from your HL account will be made. You can nominate a bank account online or in writing but please note, for your security, you will need to validate an addition or change of your Nominated Bank Account. When you add or change a Nominated Bank Account we will post a validation code to you at your registered address. You then simply log in to your online account and enter the code to confirm the changes.
Online: To withdraw money to your Nominated Bank Account simply log in, select the account you would like to withdraw from, go to the 'Cash' section and choose 'Withdraw money' from the Quick Links box on the right of the screen. The money will be sent by Faster Payment provided your bank can accept Faster Payments. The maximum you can request to withdraw online each day is £99,999 per account.
Phone: Provided we have a cleared Nominated Bank Account on record and you have a Master Password, you can contact our Accounts department on 0117 980 9801 to request a withdrawal. The money will be sent by Faster Payment provided your bank can accept Faster Payments.
Post: If you prefer, you can complete and return a Cash Withdrawal Form.
Payments will normally be made by Faster Payment where possible and this will be done free of charge. We reserve the right to delay any withdrawals for up to eight working days and return money, whether received by cheque, bank transfer or debit card, to the source from which it originated, subject to normal banking clearance times. Please refer to our Terms and Conditions for further details.
Although investments are designed for the long term there are times you will want to withdraw money. You can do this at any time. There’s no charge though there may be charges for selling some investments depending on which you hold.
What happens to any income from my investments within the HL Fund and Share Account?
An HL Fund and Share Account can be set up to treat income in one of three ways:
Reinvestment: Income will be held within your account and accumulated until it reaches or exceeds £10 per holding, when it will be automatically reinvested, or you can choose your own reinvestment level between £10 and £1,000. Reinvestments are made between the 11th and 21st of each month (or as soon as practicable thereafter). A dealing commission of 1% (£1 minimum, £10 maximum) will apply.
Hold as cash: Income will be held on your account pending your further investment instructions.
Pay out to your nominated bank account: Income will be paid out directly to a nominated bank/building society account. This payment will be made within 10 working days following the end of each month.
The instruction you give will apply to all income paying holdings within your HL Fund and Share Account.
It is not possible to opt for scrip dividends in place of a cash dividend.
What will happen to cash held in a HL account and how is interest calculated?
Within each HL account cash is held in two separate cash management accounts, the Income account and the Capital account. Any dividends or tax credits you receive are paid into your Income account. Any other payments you make into your HL account are held on the Capital account.
The interest on cash held in your Capital account is calculated on a daily basis and credited to your HL account within the first 10 working days of each month.
How often will I receive a valuation, statement and tax schedule?
You will receive two investment reports each year providing a valuation and statement of your account. The reports are published in May and November. In addition to your valuation and statement, we will send you a consolidated tax certificate with your May investment report which will detail all the income received into this account and the tax deducted.
If you have opted for our paperless service, you will receive email notification when the investment reports are available to view online. Otherwise the report will be sent in the post.
Fees and charges
When do you collect fees and charges?
Management fees are charged on a monthly basis and are calculated based on the value of your holdings at the end of each month. They are collected in the next month.
What is the Suggested Minimum Cash Balance?
The Suggested Minimum Cash Balance is designed to give you an idea of the amount of cash you should hold to meet the next few months’ fees, and other outgoings. However, it is just a suggestion and you can ignore it (or amend it) if you wish.
The Suggested Minimum Cash Balance provides a good guide to how much cash you could hold, but as the value of your holdings will rise and fall, so will your fees. You may wish to adjust the cash balance you hold if there is a significant change in the value of your holdings.
Where can I see the fees or charges that have been applied to my account?
You can view the management fees and charges which have been applied to your account by logging in and going to the Account Administration section of each account you hold. You then simply need to click on the ‘view history of fees charged’ link.
How will you collect fees and charges if there is insufficient cash on my account?
If there is insufficient cash on your account and in the HL Fund and Share Account to pay, we will sell sufficient holdings to cover the amount owed and restore the suggested minimum cash balance. There will be a charge of £1.50 per deal if an automatic sale is required.
Will you tell me before you sell my holdings?
We provide a notification service to let you know if you have insufficient cash on your accounts to pay fees due and your investments are at risk of being sold. You will then be able to add money (allowances permitting), or sell holdings of your choice to raise money, and therefore avoid your investments being automatically sold. This is an opt-in service so please set an email alert now.
How do I pay my fees and charges?
We collect fees and charges from available cash on your account.
Our system will look to collect fees in this order:
- Loyalty bonuses received on units purchased before 1 April 2014. If no loyalty bonuses then;
- Cash in the account in which the fees were generated (income account first, then capital account). If no cash on the account then:
- Sell holdings to cover fees from the account in which the fees were generated.
What is the annual management charge in the HL Fund and Share Account?
It's free to hold shares, investment trusts, bonds or gilts and ETFs.
Fund charges are tiered within bands starting at 0.45% per annum on the first £250,000 of funds, 0.25% per annum on the value between £250,000 and £1m, and 0.1% per annum on the value of funds between £1m and £2m, and no charge on the value of funds over £2m.
Can I transfer existing shares I hold to the HL Fund and Share Account?
Yes. You can transfer shares held in certificated form into your HL Fund and Share Account free of charge. Shares held in a nominee account with other brokers can generally be transferred as stock. It may be possible to transfer shares held in a nominee account with an overseas broker; please call our Investment Helpdesk on 0117 900 9000 for clarification before completing your HL Fund and Share transfer form.
Whilst we do not charge to arrange the transfer please be aware that most brokers charge exit fees and you should ensure you check what these are before transferring. In some cases we may be able to help pay these fees, please contact our Investment Helpdesk on 0117 900 9000.
To transfer shares into your existing HL Fund and Share Account please complete the HL Fund and Share transfer form and send it to us together with any share certificates.
You may also wish to complete a CREST transfer form for each stock/company that you are transferring. Your share certificates will usually be re-registered and available to trade 3 working days after we receive your completed CREST transfer form. Alternatively, we will send you a CREST transfer form once we have received your share certificates and transfer form.
Can I transfer investments in my HL Fund and Share Account to another provider?
Yes, the following charges will apply to cover the cost of the administration:
- If you transfer your holding as cash there is a £25 charge.
- Sales of shares are subject to our standard dealing charges.
- If you transfer your holdings as stock the re-registration fee is £25 per holding.
- If you close your account there is an additional £25 + VAT charge.
For more information call our Helpdesk on 0117 900 9000.
Can I transfer shares held in someone else's name into my HL Fund and Share Account?
Yes, share certificates and shares held with another broker initially need to be transferred into a HL account in the shareholder’s name. Therefore the owner of the shares will need to complete the HL Fund and Share transfer form in their own name. From there, we can arrange an internal transfer of the shares into your name provided the shareholder sends a signed letter of instruction to gift the shares to you, stating that once they have been gifted, they will have no further claim over them. The cost for transferring from one HL Fund and Share Account to another is £12.50 per holding.
Please note: you must have an active HL Fund and Share Account open to receive the shares.
If you don't have one, find out more about opening a Fund and Share Account.
Open your HL Fund and Share Account online in minutes
Open your low cost, easy-to-use HL Fund and Share Account online with a debit card today from as little as £1. Invest in funds from a minimum lump sum of £100 or start a Direct Debit from just £25 per month. If you're unsure where to invest, you can open your account now, hold your money as cash and decide where to invest later.