blender
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Post by blender on Nov 1, 2017 8:44:45 GMT
You most certainly CAN sell to yourself, but you can't specifically choose to do that, you have to do it via the open market. Quite right, and you cannot, on Ablrate, even know that you have sold to yourself. It is possible that the loan part you placed on the SM was bought quickly by another, and some other person then put up an offer identical to yours very quickly. Improbable, yes. It does not matter because the requirement is that the loan parts which go into the IFISA at the market rate, and the Ablrate SM ensures that you buy into the IFISA using the best current offer. The selling to self issue is secondary. OK, there are imperfections in the market, but it is clearly aiming for good compliance.
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elliotn
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Post by elliotn on Nov 1, 2017 9:18:38 GMT
You most certainly CAN sell to yourself, but you can't specifically choose to do that, you have to do it via the open market. I know you can through ablrate tech but you can’t according to the tax regulations, washing it through the SM instantly with your own identifiers I don’t think follows the spirit of the rule of not transferring from standard to your isa accounts and the platform should unwind or report such trades for the appropriate tax treatment. There should be a meaningful pause on trading in the loan or a loan ID tag to restrict aggressive tax manipulation.
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stevio
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Post by stevio on Nov 1, 2017 9:24:00 GMT
You most certainly CAN sell to yourself, but you can't specifically choose to do that, you have to do it via the open market. I know you can through ablrate tech but you can’t according to the tax regulations, washing it through the SM instantly with your own identifiers I don’t think follows the spirit of the rule of not transferring from standard to your isa accounts and the platform should unwind or report such trades for the appropriate tax treatment. There should be a meaningful pause on trading in the loan or a loan ID tag to restrict aggressive tax manipulation. A reoccurring discussion........but which tax regulations do you refer to?
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blender
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Post by blender on Nov 1, 2017 13:09:13 GMT
Just to say that our transfers through the SM have generally been within 1% of par and that overall the IFISA accounts have paid a premium. The purpose was not to make a tax gain, just a convenient method of growing the IFISA. It is interesting that FC no longer have a secondary market as such, but just a service run by FC which transfers unspecified loan parts between lenders at par. 'Market value' is always par. I assume this was done in part to make IFISA compliance easy. We still have to see the IFISA offering. I greatly prefer the Ablrate method, and believe in my non-expert way that it is compliant - or it would not be done that way.
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withnell
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Post by withnell on Nov 21, 2017 18:43:35 GMT
You most certainly CAN sell to yourself, but you can't specifically choose to do that, you have to do it via the open market. I know you can through ablrate tech but you can’t according to the tax regulations, washing it through the SM instantly with your own identifiers I don’t think follows the spirit of the rule of not transferring from standard to your isa accounts and the platform should unwind or report such trades for the appropriate tax treatment. There should be a meaningful pause on trading in the loan or a loan ID tag to restrict aggressive tax manipulation. If you start delaying loan sales they'd need to do it for all, otherwise it wouldn't be an open market - you run the risk of losing the part by selling, but as you're going to have to sell between the bid and the ask price (otherwise you're trading with someone else anyway) that would be seen as an open market trade
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Post by GSV3MIaC on Nov 22, 2017 10:03:44 GMT
Assuming there IS both a bid and an ask, but in almost all cases there is (and certainly in all the cases where I made a trade).
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nw99
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Post by nw99 on Nov 22, 2017 13:15:33 GMT
Yes it’s very liquid
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Post by dan1 on Jan 3, 2018 11:44:35 GMT
Am I correct in thinking that the small overall reduction in offer prices on the SM is due to the impending tax payment deadline at the end of this month? I can't imagine people are selling to reinvest in the two current new loans.
If this is the case I'd of expected similar leading up to the end of July deadline, although perhaps balanced by the reduced new loan offerings at this time of year.
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elliotn
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Post by elliotn on Jan 3, 2018 12:28:28 GMT
We might diarise ISA season too.
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brianlom1
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He's not the Messiah, he's a very naughty boy!
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Post by brianlom1 on Jan 3, 2018 13:13:54 GMT
Am I correct in thinking that the small overall reduction in offer prices on the SM is due to the impending tax payment deadline at the end of this month? I can't imagine people are selling to reinvest in the two current new loans. If this is the case I'd of expected similar leading up to the end of July deadline, although perhaps balanced by the reduced new loan offerings at this time of year. From memory, I thought it started just before Christmas, maybe it's partially down to money required for seasonal spending (and now the credit card bills are becoming due)?
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Post by GSV3MIaC on Jan 3, 2018 14:13:46 GMT
I think the influx of ISA money probably happened, so buying pressure is maybe lower. It's actually reasonably well balanced at the moment - not much for sale at a discount, but premia are generally small, and not many bids at a premium, but you can unload a lot of stuff for a mere 1% hit. Looks fine to me.
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boundah
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Post by boundah on Mar 8, 2018 16:53:56 GMT
Has anyone been keeping track of the average bid-offer spread? It seems to have widened over the last month or two but I may be imagining it.
(Apols if I've missed a previous post on this...)
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andy1
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Post by andy1 on Mar 9, 2018 13:03:16 GMT
Has anyone been keeping track of the average bid-offer spread? It seems to have widened over the last month or two but I may be imagining it. (Apols if I've missed a previous post on this...) You might be right on that but what I've noticed recently is almost nothing is available below par. Right now the best offer is 100.1% on 1000069 and 1000040. 100.3%+ on everything else up to 105% if you want some generators!
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Balder
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Post by Balder on Jul 18, 2018 7:56:03 GMT
ablrate why is it that I created a bid that was at the top of the queue (some was also executed) then this morning I am now second in the queue behind another bid at the same bid price?
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SteveT
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Post by SteveT on Jul 18, 2018 7:57:45 GMT
ablrate why is it that I created a bid that was at the top of the queue (some was also executed) then this morning I am now second in the queue behind another bid at the same bid price? Someone will have amended their existing (earlier) bid to match / beat yours
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