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30th
May 2017
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5 high yield investments to boost your income in retirement

5 high yield investments to boost your income in retirement

If you are looking for investments to boost your retirement income, putting some of your savings into an investment ISA is usually a good idea. This allows you to maximise the returns you see on your investment as you do not have to pay tax on the interest or other income you earn (up to the current ISA allowance of £20,000 for the 2017/18 tax year).

There are a wide range of different ISA investment plans to choose from, including those which provide a regular monthly income, or those which offer longer term returns. We have selected five of the top currently available high yield investments to boost your income in retirement.

1) Investec FTSE 100 Enhanced Income Plan

This plan pays 0.38% interest every month for five years, equivalent to 4.56% gross per year. When the plan ends, you will get your initial stake back, subject to the performance of the market.

With long term savings accounts currently offering an average of around 2.20% annual interest, this plan offers attractive returns, if you are happy to put your capital at risk.

The minimum investment is £3,000 and the maximum is £20,000 for an ISA account or £1,000,000 for a non-ISA account.

Click here for more information about the Investec FTSE 100 Enhanced Income Plan »

2) Investec Enhanced Kick Out Plan

This plan offers a kick out facility, where the fund has the potential for maturity at the end of each year of the six year plan. The plan returns 10.25% in any given year if the five-day average closing level of the FTSE 100 is higher than when the plan began on the anniversary of this date each year.

This plan can provide a competitive return even if the FTSE stays relatively flat. The minimum investment is £3,000 and the maximum is £20,000 for an ISA investment or £1,000,000 for a non-ISA investment.

Click here for more information about the Investec enhanced Kick Out Plan »

3) Virgin Money Stocks and Shares ISAs

Virgin Money provide various stocks and shares ISAs for those looking to generate an income from their savings, offering various levels of risk and return.

These include funds which place your investments into government bonds and highly rated companies, those which spread your money between UK and overseas investments to diversify your portfolio and a UK FTSE All-Share Fund which puts your capital into 600+ companies on the FTSE All-Share Index.

Click here for more information about the Virgin Money Stocks and Shares ISA »

4) Focus FTSE Monthly Income Plan

This plan offers a fixed monthly income of 0.35% (equivalent to 4.20% annually) and at the end of the plan your capital is returned, as long as the FTSE does not fall by more than 40% relative to when the plan started.

The minimum investment is £5,000 and the maximum is £20,000 for ISA accounts, while there is no limit for direct investments. This plan offers significantly better returns than current long term savings rates, so is another good option if you want a regular income and are willing to risk your capital.

Click here for more information about the Focus FTSE Monthly Income Plan »

5) Nutmeg ISAs

Nutmeg offer straightforward, flexible investment ISAs which can be set up within minutes online and which allow you to withdraw your money at any time.

With a minimum investment of £500 and no minimum investment period, Nutmeg ISAs are popular with both experienced and less experienced investors. Nutmeg provide diversified investment portfolios managed by an experienced team for a low fee of 0.25-0.75%.

Click here for more information about Nutmeg ISAs »

Compare high yield investments to boost your retirement income

Take a look at the range of investment ISAs on our website for more ideas on high yield investments that can help boost your retirement income. There are a range of plans to suit different income objectives, allowing you to quickly find the right investment plan for you.

Investment Income Plan ISAs

FTSE 100 Enhanced Income Plan

from Investec

Allow ISA Transfers
Annual Income 4.56% fixed income
  • Counterparty: Investec Bank plc
  • Term: 5 years

Why we like it: Fixed income, fixed term, monthly payments and your capital back unless the FTSE falls by more than 50%. By offering a high fixed income rather than a variable income based on the performance of the stock market, this plans offers something different to income seekers.

  • 4.56% income paid regardless of the performance of the FTSE 100
  • Monthly income
  • Available for ISA, ISA transfer and direct investment
  • Capital is at risk if the FTSE 100 Index falls by more than 50% during the term and finishes lower than its starting value, in which case your initial investment will reduce by 1% for each 1% fall
  • Minimum investment £3,000
  • An arrangement fee applies for this plan
  • Product designed to be held for the full term

Important Information: Structured investment plans are not capital protected and are not covered by the Financial Services Compensation Scheme (FSCS) for default alone. There is a risk of losing some or all of your initial investment due to the performance of the underlying investment. There is also a risk that the company backing the plan known as the Counterparty may be unable to repay your initial investment and any returns stated.

FTSE Monthly Income Plan

from Focus

Allow ISA Transfers
Annual Income 4.00% fixed income
  • Counterparty: Credit Suisse AG
  • Term: 6 Years

Why we like it: Fixed income, fixed term, monthly payments and your capital back unless the FTSE falls by more than 40%. By offering a high fixed income rather than a variable income based on the performance of the stock market, this plans offers something different to income seekers.

  • 4.00% income paid regardless of the performance of the FTSE 100
  • Monthly income
  • Available for ISA, ISA transfer and direct investment
  • Capital is at risk if the FTSE 100 Index falls by more than 40% from opening level at maturity, in which case your initial investment will reduce by 1% for each 1% fall
  • Minimum investment £5,000
  • An arrangement fee applies for this plan
  • Product designed to be held for the full term

Calculate your interest with this plan

Your savings:
£
You could gain:
£0.00 (per tax year)

Important Information: Structured investment plans are not capital protected and are not covered by the Financial Services Compensation Scheme (FSCS) for default alone. There is a risk of losing some or all of your initial investment due to the performance of the underlying investment. There is also a risk that the company backing the plan known as the Counterparty may be unable to repay your initial investment and any returns stated.

Important Risk Information:

This website contains information only and does not constitute advice or a personal recommendation in any way whatsoever. The value of investments and income from them can fall as well as rise and you may not get back the full amount invested. The tax efficiency of ISAs is based on current tax law and there is no guarantee that tax rules will stay the same in the future.

Different types of investment carry different levels of risk and may not be suitable for all investors. Please ensure that you read the Important Risk Information for further details. Prior to making any decision to invest, you should ensure that you are familiar with the risks associated with a particular investment and should read the product literature. If you are in any doubt as to the suitability of a particular investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.

Cash ISAs

ISAs are a tax-advantageous way to save or invest, check out some of the ISA options below

ISAs Products

Fund ISAs

There are a range of types of fund ISA

Fund ISAs: 

Stocks & Shares ISAs

Types of Stocks and Shares ISA include: 

Stocks and Shares ISAs

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