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Fund Supermarket ISAs /

Income Fund ISAs

Great income funds with low charges

Income fund ISAs give you the opportunity to invest your ISA allowance in plan that offers the maximum potential for regular income, without paying tax on any returns you make. Compare income fund ISAs using our Fund Supermarket and find out how you could save on charges.

Investment Fund ISAs

High Income

from Artemis

Income Yield 5.29% pa - Interest Payable Monthly*

Why we like it: If you are looking for a high income yield and prepared to accept higher volatility then this fund may fit the bill. With a focus on high yield bonds and shares, the fund manager is an experienced bond investor who has a flexible approach to seeking out the best income opportunities. This fund is available via the Hargreaves Lansdown investment platform.

*Distribution yield as at 30/4/2020

Important information: Please remember the value of your investment and any income from it may fall as well as rise and is not guaranteed. You may get back less than you invest.

Listed Equity Income

from AVIVA Investors

Income Yield 4.79% pa - Income Paid Bi-annually*

Why we like it: Getting paid a regular income is a priority for many investors. Whether you're in retirement, or want to boost your existing income, an equity income fund could be right for you. Even if you do not need income now, you can opt to reinvest it to boost capital growth. An emphasis on dividends and dividend growth makes this fund a more traditional UK equity income fund, in our view, so it could help form the foundation of an income portfolio.This fund is available via the Hargreaves Lansdown investment platform.

*Historic yield correct as at 31/5/2020

Important information: Please remember the value of your investment and any income from it may fall as well as rise and is not guaranteed. You may get back less than you invest.

Multi Manager High Income

from Hargreaves Lansdown

Income Yield 5.03% pa - Interest Payable Monthly*

Why we like it: The Hargreaves Multi Manager High Income fund aims to deliver a high monthly income to clients by blending different types of funds and moving between different areas of the market when more attractive opportunities emerge. HL also aim to grow this income payment over time and therefore may invest in higher risk smaller companies they believe offer great potential for long term capital growth.

*Correct as at 30/4/2020

Important: The value of your investments can rise as well as fall. You may get back less than you invested. If you’re unsure, we recommend you ask for independent advice.

Ethical Trust Income

from Legal & General

Income Yield 3.90% pa - Interest Paid Bi-annually*

Why we like it: A low cost ethical fund (0.25% pa ongoing charge) with the objective of the Fund is to provide growth by tracking the performance of the FTSE 350 Index (the “Index”), excluding shares of companies whose business does not meet a range of ethical and environmental guidelines (“ethical screening methodology”) determined by an external agency chosen by the Manager. This fund is available through the Hargreaves Lansdown Platform.

*Historic yield correct as at 22/5/2020

Important information: Please remember the value of your investment and any income from it may fall as well as rise and is not guaranteed. You may get back less than you invest.

Moneybuilder Income

from Fidelity

Income Yield 3.12% pa - Income Paid Monthly*

Why we like it: A fund with a conservative approach to bond investing. The focus is on quality companies that are in good financial health and generate enough cash to keep paying bondholders. Aims to provide a relatively steady income and a small amount of growth, without taking excessive risks. It could help diversify a portfolio focused on shares, or be used as a way to limit volatility during tougher times for stock and bond markets. This fund is available via the Fidelity investment platform.

Important information: Please remember the value of your investment and any income from it may fall as well as rise and is not guaranteed. You may get back less than you invest.

Income Fund ISAs

Income fund ISAs offer you the flexibility to make the most of your ISA allowance in a way that suits you. You can choose from income funds that invest in equities or funds that invest in corporate bonds.

If you're looking to earn an income from your investments, there are a wide range of income fund ISAs to choose from. These can help you to reach your personal investment goals.

Funds and investments are a great way to income invest as you can spread the risk over a range of equities or assets. Income Funds invest in portfolios of companies that pay out constant dividends. This is less risky than investing in individual shares.

By making these investments within an ISA wrapper, you can make money and avoid paying income tax on your capital.

Compare the latest income fund ISAs in our tables to find the right one for you.

What is an Income Fund ISA?

An income fund ISA is a way of using your ISA allowance with the aim of providing you with a regular tax-efficient income payment on your investment or savings. Income may be paid on a quarterly, semi-annual or annual basis, so you can choose an option to suit your savings goals.

You are permitted to invest all or part of this amount in an Investment ISA, or some of this amount in a cash ISA and the remainder in stocks and shares

Why Invest in an Income Fund ISA

Check our Fund Supermarket for fund options. Here’s why using our facility could be right for you:

  • 1.Low charges - Many of the income funds available to you can be accessed at no initial charge. What's more, many annual management charges offer a discount of up to 0.20% per year.
  • 2.Great choice of funds - Over 1500 funds to choose from including leading UK income fund managers such as Invesco Perpetual, Jupiter and Fidelity.
  • 3.Management of your funds online - Our Fund Supermarket service provides you with online access so you can monitor your investment funds 24/7, wherever you are.
  • 4.Customer Services Team - We are here to help you if you have any queries.

What Type of Income Funds are Available?

You can select income funds covering all major geographical regions of the world.

There are a variety of income funds to choose from, with different investment risk profiles and growth objectives. Choose from income equity funds, bond funds, property funds, specialist funds, and cash funds.

By spreading your investments over a range of options and by choosing your investments carefully, you could see much higher returns than simply using a Cash ISA.

Important Risk Information:

The value of investments can go down in value as well as up, so you could get back less than you invest. It is therefore important that you understand the risks and commitments. This website aims to provide information to help you make your own informed decisions. It does not provide personal advice based on your circumstances. If you are unsure of how suitable an investment is for you, please seek personal advice.

High Income ISAs

High income ISA ideas:

ISAs Products

Cash ISAs

Fixed Rate & Instant Access ISAs:

Cash ISAs: 

Stocks & Shares ISAs

Types of Stocks and Shares ISA include: 

Stocks and Shares ISAs

Latest News

Is An Investment ISA a Good Idea?

29th July 2020

If you're new to investing you will have come across the term "Investment ISA" or "Stocks and Shares ISA" which are ISA accounts designed specifically designed to maximise tax-free returns on your investments. But are these a good idea? 

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We've been comparing and recommending ISAs for many years so you can trust you're in good hands.

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Jen

I found the way the different options are presented very clear - much more useful than some other comparison sites. I sent it to my daughter as well.