9th October 2013
Investors should know what allocation of shares in Royal Mail they will receive by Friday this week says Hargreaves Lansdown. The broker has issued an explanatory note, in which it suggests that the best way to view shares and to deal in them is through an online broker and of course, Hargreaves Lansdown Vantage Service – is one such service.
Richard Hunter, Head of Equities, Hargreaves Lansdown says: “We expect share allocations will be announced so investors will know how many shares they have received in time for the start of conditional dealing at 8.00 am on Friday 11 October.” The shares will be fully listed on the stock exchange on Tuesday 15th.
The firm says that if the application for shares is scaled back, investors have three options – they can purchase more Royal Mail shares, though obviously not at the float price but at the market price, they can purchase other investments or get the money back.
The note also explains conditional dealing. HL says most private investors, including its customers, who applied through an intermediary should be able to deal during the conditional dealing period. However the firm warns that investors should be aware that if for any reason Royal Mail cancels the listing, all deals will be void. It is also not possible to buy shares within an ISA or SIPP during conditional trading though sales are permitted.
HL’s dealing commission on Royal Mail shares ranges from £5.95 to £11.95 per deal.