Halifax was the first in the UK to offer a regular share investment plan, known as ‘ShareBuilder’ and has since expanded into more products. To find out more information about whether Halifax is the right investment platform for you, read below.
What is Halifax share dealing?
You don’t have to have a Halifax bank account to open a Halifax share dealing account, but it can be accessed through its banking app, which makes it easier if you do have both a Halifax bank account and a Halifax share dealing account.
Halifax’s main aim is to give you the right tools to help you make your own educated decisions. Its website is optimised for the user experience and makes investing quick and easy.
What products does Halifax share dealing offer?
You can invest in several different products with Halifax share dealing, including:
- Share dealing account. This is Halifax’s general investment account, with no tax advantages.
- Stocks and shares ISA. This account lets you invest within your annual ISA allowance.
- Self invested personal pension (SIPP). This account lets you save up for retirement. It has tax advantages, which we’ll cover further down.
Halifax share dealing account
The general investment account is Halifax’s most basic account. Here are some of its features:
- Choose from a range of investment options, including shares, funds and ETFs
- Search for investments with its screener
- Suitable for you if you’ve used your ISA allowance for the year
There aren’t any tax advantages to trading with a general investment account, like there are with a stocks and shares ISA, which we cover in a mo. If you make more than £12,300 in each tax year then you have to pay capital gains tax on the portion over this amount.
Halifax stocks and shares ISA
The Halifax stocks and shares ISA lets you use your annual ISA allowance. You can use up to the annual allowance in each tax year. The allowance is £20,000 in the 2022/2023, which means you can invest up to £20,000 without paying capital gains tax on your profits.
Other than the tax benefits, the regular share dealing account and stocks and shares ISA are pretty much the same, including the features and the fees.
This account lets you gradually build up your portfolio using a scheduled monthly investment plan. You must invest a minimum of £20 per month, but you only pay £2 in commission for each scheduled investment.
You can trade UK shares, ETFs or investment trusts with the ShareBuilder account.
Halifax self invested personal pension (SIPP)
You can’t withdraw your pension until you turn 55. You can transfer existing pensions over to your Halifax SIPP and consolidate them all in the same place.
You can invest in shares, ETFs and more than 2,500 funds with the Halifax SIPP.
There are two accounts that let you invest in ready made portfolios – the investment account and the investment ISA.
With both of these accounts you can choose between three portfolios with different risk profiles. There’s an ongoing charge and service fee with this account, which we detail below.
Here are the portfolios (and before you ask, we don’t know what happened to 1, 3 and 5:
|Managed Growth Fund 2||Managed Growth Fund 4||Managed Growth Fund 6|
|Fund manager approach||Cautious growth||Balanced growth||Dynamic growth|
|Bonds and gilts||60.5%||36.5%||15%|
What are the features of Halifax share dealing?
- Set up a regular investment plan. You can invest a minimum of £20 per month and pay only £2 in dealing commission per trade.
- Invest in shares, exchange traded funds (ETFs) and investment trusts. you can use the screener to find investments.
- No platform fees. You don’t pay to hold shares.
- Choose ready made funds. If you don’t want to choose your own investments you can pick a ready made portfolio.
- Transparent pricing. The pricing structure is pretty clear and easy to understand.
- Access to the Halifax ‘Marketwatch’. Use a range of tools and up to date market research to find out what is happening and where)
What can you invest in with Halifax share dealing?
Here are some of the things that you can invest in with Halifax. We’ve explained the types of investment in more detail below.
|Investment type||Available with Halifax?|
Halifax share dealing fees
Halifax changed its fees on April 1 2021, introducing an administration fee of £36 per year, and dropping its ISA fee. This can make it expensive for those who don’t trade often, or want to hold the shares they already own for a long period of time.
|Fee||Fee amount||Applicable for these accounts|
|Admin fee||£36 per year||All except SIPP|
|SIPP fee (£50,000 or less)||£90 per year £180/year for accounts over £50,000||SIPP only|
|SIPP fee (more than £50,000)||£180 per year||SIPP only|
|Dealing fee||£9.50 per trade||All except for ready made portfolios|
|Dividend reinvestment||2% of dividend amount, max £9.50||All accounts|
|Currency conversion fee||1.25%||All accounts (when you trade international shares)|
Halifax ready made portfolio fees
Ready made portfolios have some additional fees:
|Fee name||Managed Growth Fund 2||Managed Growth Fund 4||Managed Growth Fund 6|
Is Halifax share dealing safe?
Halifax has been managing funds for 20 years and is a trusted and well-known bank across the UK. It’s received several accolades over the years crediting the services it provides within the investment industry.
Halifax is covered by the Financial Services Compensation Scheme (FSCS), which means your investments are covered up to £85,000 if it were to go bust.
Halifax is also regulated by the Financial Conduct Authority (FCA) and is bound by its rules and regulations in the conduct of our investment business.
Halifax share dealing customer reviews
Finder commissioned a survey of 750 people who invest in stocks and shares for the Finder Share Dealing Customer Satisfaction Awards 2021. Halifax customers found that its share dealing service was easy to use, has good access to research and friendly customer service.
Some of the negative customer reviews said that it was expensive.
Pros and cons of Halifax share dealing
- Access to UK and international shares
- Check your performance and sign up in the mobile banking app
- Transparent fee structure
- Can be expensive
- Not as detailed or user friendly as it could be
- 90 day wait to close an account or transfer your account
Our verdict: Is Halifax share dealing any good?
Halifax’s share dealing platform isn’t quite as detailed or attractive as some of the newer platforms on offer, such as Trading 212 and Freetrade. It’s got a transparent fee structure, but it is pretty pricey for individual trades at £9.50 per trade, and the admin fee also eats into your profits.
Its ready made portfolios are a better deal and do offer a lower ongoing charge than other “robo-advisors” but there are only three portfolios on offer.
Still not sure? Compare all platforms with our comparison table.
All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Past performance is no guarantee of future results. If you’re not sure which investments are right for you, please seek out a financial adviser. Capital at risk.
More guides on Finder
Halifax Cashback Credit Card review 2022
With no annual fee, the Halifax Cashback Credit Card could be a good option for those looking to earn something back on their spending.
Halifax Credit Card review 2022
With a noticeably low rate on purchases, balance transfers and cash advances, this Halifax card could be an option for those looking to keep their interest costs down.
Compare Halifax balance transfer offers for October 2022
Check out all the 0% balance transfer deals currently available from Halifax.
Halifax Longest 0% Balance Transfer Mastercard review
Clear existing card debt faster with Halifax’s longest 0% balance transfer deal.
Halifax Clarity Card review 2022
Looking for the right card to take abroad? Here’s everything you need to know about the Clarity card.
Halifax 0% Purchase and Balance Transfer Credit Card review 2022
A card that offers more than just a break from interest on existing credit card debt.
Halifax Low Fee 0% Balance Transfer Credit Card review 2022
A balance transfer card with a very specific set of skills. Compare this deal against others from Halifax and competing card issuers.
Halifax FlexiCard review
Halifax’s FlexiCard aims to offer the certainty of a fixed-term personal loan, with the flexibility of a credit card.