JamesCaldwell

2014-15 Investment ISAs

Looking to use your investment ISA allowance for the new tax year 2014/15? Want to transfer your stocks and shares ISA to a new provider for a better deal? Read on for our latest investment ISA ideas.

 

James Caldwell, Director

Growth Investment ISA Selection
ProviderPlan NameCounterpartyISA OptionTermMaximum Potential ReturnMore Info

FTSE 4 / FTSE 100 Defensive Kick Out PlanCredit Suisse AGyesUp to
6 years
17%
after 18 months
More Info >
  • 17% after 18 months, or 17% plus an additioanl 6% for each six months thereafter provided four FTSE 100 stocks finish equal to or higher than the required kick out level
  • Potential to mature early every six months, from 18 months onwards
  • Kick out level reduces from 100% to 75% over the term
  • Available for NISA, NISA transfer and direct investment
  • Investment deadline NISA transfers - 22 September 2014
  • Investment deadline for direct and NISA by cheque - 30 September 2014
  • Investment deadline for direct and NISA by bank transfer - 6 October 2014
  • Capital is at risk if one or more stocks has fallen by more than 40% at maturity from their starting value, in which case your initial investment will reduce by 1% for each 1% fall of the lowest performing stock
  • Minimum investment £5,000
  • An arrangement fee applies to this plan
  • Product designed to be held for the full term

FTSE 100 Enhanced Kick Out PlanInvestec Bank plcyesUp to
6 years
10.5%
per annum
More Info >
  • 10.5% for each year (not compounded) provided the FTSE 100 finishes higher than its starting value (subject to averaging)
  • Alternative collaterised option also available returning a potential 8.25%
  • Potential to mature early, from year 2 onwards
  • Available for NISA, NISA transfer and direct investment
  • Investment deadline NISA transfers - 12 September 2014 
  • Investment deadline for direct and NISA - 26 September 2014
  • 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 to this plan
  • Product designed to be held for the full term

UK Kick-out PlanAviva plc, Barclays Bank plc, Lloyds Bank plc, and The Royal Bank of Scotland plcyesUp to
6 years
8.8%
per annum
More Info >
  • 8.8% for each year (not compounded) provided the FTSE 100 finishes equal to or higher than its starting value
  • Potential to mature early, from year 2 onwards
  • Available for NISA, NISA transfer and direct investment
  • Investment deadline stocks and shares NISA transfers - 3 October 2014
  • Investment deadline for cash NISA transfers - 10 October 2014
  • Investment deadline for direct and NISA - 24 October 2014
  • 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 £10,000
  • An arrangement fee applies to 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. Income and growth returns are not guaranteed. There is a risk of losing some or all of your initial investment due to the performance of the underlying Index or commodity. 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.
Income Investment ISA Selection
ProviderPlan NameCounterpartyISA OptionTermMaximum Potential ReturnMore Info

FTSE 100 Enhanced Income PlanInvestec Bank plcyes6 years5.64%
fixed income per annum
More Info >
  • 5.64% income paid regardless of the performance of the FTSE 100
  • Monthly income
  • Available for NISA, NISA transfer and direct investment 
  • Investment deadline for NISA transfers - 12 September 2014
  • Investment deadline for direct and NISA - 26 September 2014
  • 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 to this plan
  • Product designed to be held for the full term

FTSE 5 Monthly Income PlanMorgan Stanley BVyes6 years7.62%
fixed income per annum
More Info >
  • 7.62% fixed income paid regardless of the performance of five FTSE 100 shares
  • Monthly income
  • Available for NISA, NISA transfer and direct investment 
  • Investment deadline for NISA transfers - 12 September 2014
  • Investment deadline for direct and NISA by cheque - 19 September 2014 
  • Investment deadline for direct and NISA by bank transfer - 24 September 2014
  • Capital is at risk if one or more shares has fallen by more than 50% at the end of the term, in which case your initial investment will reduce by 1% for each 1% fall of the lowest performing share
  • Minimum investment £5,000
  • An arrangement fee applies to this plan
  • Product designed to be held for the full term

FTSE 4 Quarterly Income PlanCredit Suisse AGyes
6 years
9%
per annum
More Info >
  • Up to 9% per year based on four FTSE 100 shares staying above 60% of their opening values
  • Quarterly payments
  • Available for NISA, NISA transfer and direct (non-NISA) investment
  • Investment deadline NISA transfers - 13 October 2014
  • Investment deadline for direct and NISA by cheque - 21 October 2014
  • Investment deadline for direct and NISA by bank transfer - 27 October 2014
  • Capital is at risk if one or more shares has fallen by more than 50% at maturity from its starting value, in which case your initial investment will reduce by 1% for each 1% fall of the lowest performing share
  • Minimum investment £5,000
  • An arrangement fee applies to 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. Income and growth returns are not guaranteed. There is a risk of losing some or all of your initial investment due to the performance of the underlying Index or commodity. 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.

2014-15 Investment ISA Allowance

If you haven't yet used your investment ISA allowance this year, you've still got until 5th April 2015 to make use of this tax-efficient home for your money. Equally, if you already have a stocks and shares ISA that's not performing as well as you'd like, it pays to research the market - and switch providers if necessary - in order to make sure your investments are working hard for you. Whether you're new to investment ISAs or shopping around for a new provider, here are a few important factors to consider before you sign up:

Rate of return

A vital consideration for any investor is: 'How much profit can I expect to generate from my capital?' It can be tempting to try to determine the potential rate of return by looking at the past performance of a fund you're interested in. However, this isn't necessarily an indication of how the fund will perform long-term. In addition, higher potential returns generally mean higher risk, which leads us on to…

Risk tolerance

Every investor's attitude to risk varies - some people are comfortable accepting more risk than others, especially if they think this will lead to better returns. This approach tends to go hand in hand with a long-term investment timeframe, during which any short-term losses will often be ameliorated by the length of the investment period. Conversely, if you're investing for the short term, you'll probably want to choose a stocks and shares ISA with a lower level of risk because you probably won't have sufficient time to recoup any losses before cashing in your investments.

Investment ISA fees and charges

Because stocks and shares ISAs often require participation by a fund manager or other investment professional, investors are likely in incur fees when they buy or sell shares. Some investors find that self select ISAs are a less expensive choice than standard investment ISAs because they don't require the same level of participation by a financial expert. However, for those who lack the time, expertise or inclination to manage their own investments, a good fund manager may pay off in the long term. It's important to research different providers to make sure you're getting a good balance of expertise, convenience and value for money.

In summary, when it comes to choosing an investment ISA…

Be clear on your objectives - you should have a clear idea of what you want to achieve through investing. Do you want a regular income? If this is the case you may want to look for an investment ISA that offers monthly, quarterly, or semi-annual payments. Do you want more stability for your existing investment? You may want to look for an investment manager with a better  record. Want to cut down your expenses? You might want to find a provider offering lower charges.

Do your research - Before opening a new stocks and shares ISA, or transferring to a different investment ISA provider, research what investment options are available. The tables above contain a selection of investment ISA deals - if you are unsure what to do you should seek independent financial advice.

 

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.

www.isa.co.uk is a trading name of Fair Investment Company Ltd which is authorised and regulated by the Financial Conduct Authority.