Capita Share Dealing Services

Placing Stop Loss Orders

A Stop Loss order is an order to sell a security once the price drops below a specified price. When planning a Stop Loss order you specify a price range rather than a single value. The value you enter as the trigger is the price you want to trigger the Stop Loss. (NB. The price for both ends of the range is before the deductions of dealing charges).

The 'Not Below Value' is the lowest price you will accept. This must be at least 1% below the 'Trigger Value' but no more than 10%. Your order will not be triggered by prices outside this range. This helps to minimise risk to your holdings when prices are moving very rapidly. We will always try to execute your order at the best price within this band once the Stop Loss is triggered. (The displayed % Below Trigger is calculated from the 'Not Below Value' you enter and cannot be edited directly). The Trigger and Not Below prices are always in pence or euro (depending on whether you are a shareholder in the UK or Ireland).

Note: sometimes we get an improved price from the market so the trade may execute at a better price than the trigger value. To control this, we have set a tolerance level in case the order attempts to execute at a price significantly above the Stop Loss trigger. The tolerance is predefined as a percentage figure above the Stop Loss trigger price. This percentage can vary between 2% and 10%. The percentage is higher for lower priced stocks than for those with high prices.

For Stop Loss orders you also need to set an expiry date. This date can on the next business day, 30 days or 90 days from placing the order.

Before finally completing the order click 'Estimate trade details'. The display will now show you an 'Estimated Deal Quantity'. This is based on the quantity you entered or is a figure calculated from the amount you specified. You'll also see when the order will expire, the 'Estimated Deal Value Currently' (i.e. the price you would receive for your shares based on the current bid price) and the 'Estimated Deal Value at Trigger'. When the order executes the final deal values may be different from these estimates.

If you're satisfied at this point you should click 'Place Stop Loss.'

You can cancel an open order at any time from the 'Open Orders' area of the 'Account Details' section.