KIDs and Buying Investment Trusts

[gadjet]

I seem to remember a Fool saying that, when he recently phoned to buy an IT, his broker asked if he'd read the KID. If he said "Yes", was the broker satisfied or did they ask detailed question about it , to see if he really had ?
The reason I ask is that I am considering buying one or more ITs and, as I am very deaf, phone conversations are difficult and usually involve help from my OH so that it becomes a three-way conversation. My broker's website definitely shows that I will need to contact them by phone for this.

[monabri]

Why don't you simply buy your investment trust on-line - no need to phone a broker? You can open up a trading account for free (SVS securities) or for a one off £25 with iweb ("Halifax").

SVS will charge £7.95 + 0.5% tax. iWeb will cost you £5+0.5% tax. Both SVS and iWeb offer ISA accounts.

You won't need to talk to anyone.

[arty]

One of the platforms I use similarly says that I need to call to confirm, but when I do, they suggest that
in future if it's easier I can just email them a list of ITs, confirming that I have read the KIDs.
If you do need to call, they definitely won't quiz you on the contents - the person on the other end of the phone probably wouldn't have the knowledge to do so anyway.
This is a minor irritation though - they should really have implemented a tick box on their website so one can confirm that way by now.

[richfool]

I hold multiple investment trusts through my online ISA broker. Since earlier this year, their online system prevents me from making a trade, without me confirming to the them that I have read the relevant KID. I do that by emailing them. (They then "unblock" the IT on my account without further discussion.) When I press them about the inconvenience of having to email them each time, they told me they are working on a system whereby I can confirm that I have read the KID through the online system, though they haven't got there yet.

[kempiejon]

Halifax ask me to tick a box online each time I buy ETFs or ITs, even those I already hold and have previously clicked to acknowledge I have read the KIID and charges documents. In fact they want me to confirm that I have saved or printed such documents.

[bobsmydog]

Has anyone read a KID? I did once and found it pointless. So now I tick the boxes and carry on.

[Howyoudoin]

I seem to remember a Fool saying that, when he recently phoned to buy an IT, his broker asked if he'd read the KID. If he said "Yes", was the broker satisfied or did they ask detailed question about it , to see if he really had ?
The reason I ask is that I am considering buying one or more ITs and, as I am very deaf, phone conversations are difficult and usually involve help from my OH so that it becomes a three-way conversation. My broker's website definitely shows that I will need to contact them by phone for this.

Hi gadjet,

You've already had some good advice on this thread but as someone who works in the business I just wanted to assure you that your broker won't quiz you about the KIID, it's purely a tick box exercise for the regulator for you to declare that you have read it.

Having said that, I do advise people to read the KIID as there are few documents that better summarise the past performance, fees and charges of the fund in two pages.

Best,

HYD

[Alaric]

Having said that, I do advise people to read the KIID as there are few documents that better summarise the past performance, fees and charges of the fund in two pages.

Fees and charges I agree, but isn't the past performance concealed behind those seemingly arbitrary "what you might get" tables? Those are the ones that purport to tell you how the return will vary between favourable and unfavourable investment conditions.

[Howyoudoin]

Having said that, I do advise people to read the KIID as there are few documents that better summarise the past performance, fees and charges of the fund in two pages.

Fees and charges I agree, but isn't the past performance concealed behind those seemingly arbitrary "what you might get" tables? Those are the ones that purport to tell you how the return will vary between favourable and unfavourable investment conditions.

Ah apologies, I misread the title.

A KID differs from a KIID, in that the former gives projections of performance whereas the latter gives actual performance against benchmark over 10 years, if available.

HYD