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Fund Supermarket ISAs /

Income Fund ISAs

Great income funds with low charges

Investment ISAs put your capital at risk & you may get back less than you originally invested

Selected ISAs

Moneybuilder Income

from Fidelity

Allows ISA Transfers
Regular Savings
  • Fund Choice: Popular corporate bond fund that pays a monthly income. Manager Sajid Vaid believes investment grade (high quality) company bonds may be the ‘sweet spot’ in the fixed income market, delivering modest income while keeping risks in check. Capital at risk.
  • Invest From: £25 pm

Multi Manager High Income

from Hargreaves Lansdown

Allows ISA Transfers
Regular Savings
  • Fund Choice: HL blend their favourite equity income funds to provide investors an investment which aims to deliver long term returns & reliable monthly income. Capital at risk.
  • Invest From: From £25

Monthly Distribution

from Artemis

Allows ISA Transfers
Regular Savings
  • Fund Choice: High income yield fund suitable for long term investors drawing regular monthly income from their portfolios. Capital at risk.
  • Invest From: £25 pm

Listed Equity Income

from AVIVA Investors

Allows ISA Transfers
Regular Savings
  • Fund Choice: Aims to provide a dividend yield above the FTSE All-Share Index. Invests in UK equities judged to offer high yield, above average prospects of dividend growth and long-term capital growth. Income paid twice yearly. Capital at risk.
  • Invest From: £25 pm

Property Income

from Picton

Allows ISA Transfers
Regular Savings
  • Fund Choice: This Real Estate Investment Trust which invests in UK commercial property pays investors a quarterly dividend. Capital at risk.
  • Invest From: £25 pm
Ethical ISAs

UK Ethical Income

from Unicorn

Allows ISA Transfers
Regular Savings
  • Fund Choice: Actively managed fund that aims to provide an income by investing in UK companies which meets ethical guidelines. Capital at risk.
  • Invest From: £25 pm

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.

5 Shares For Your 2021 ISA – Free Guide

Investment inspiration for this year’s ISA allowance.

It’s looking more and more likely we’re past the worst of the pandemic.

For five shares that could be worth a look in this context, download a FREE factsheet to discover Hargreaves Lansdown’s experts’ latest picks.

They include:

  • One of the world’s largest mining companies
  • A social media giant eyeing digital dominance
  • An intriguing ‘boring’ stock

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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.

Lifetime ISAs

Save for your first home and retirement

Compare Lifetime ISAs

Junior ISAs

Invest for your child’s future

Compare Junior ISAs: 

Stocks & Shares ISAs

Invest tax-free in stocks and shares 

Compare Stocks and Shares ISAs:

Latest News

5 Considerations for Your Next Investment ISA

15th March 2021

You've decided to invest your savings into a Stocks and Shares ISA. You'll be using your tax-free ISA allowance for this year before the deadline, while also investing your money for your future. But what do you need to consider before opening an account? We've put together a list of our top five considerations for you to think about before you click "apply". 

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