Compare FTSE 250 Index Tracker ISAs
Find the best FTSE 250 index tracker ISA to invest this year’s tax free allowance.
Investment ISAs put your capital at risk & you may get back less than you originally invested.
- Fund Choice: Tracks the FTSE 250 index of medium-sized companies, providing a greater UK domestic focus than the FTSE 100. This is the cheapest ETF tracking the FTSE 250 with an ongoing charge of just 0.1%. That equates to £1 of fees for every £1,000 invested so super cheap! Capital at risk.
- Invest From: £25 pm
Low cost FTSE 250 tracker with a 0.10% pa annual charge. This Fund seeks to track the performance of the FTSE 250 Index, a widely recognised benchmark of mid cap sized companies of the United Kingdom.
- Fund Choice: Tracks the FTSE 250 Index. The fund invests directly in shares that make up the index such as Direct Line Group, Greggs & Morrisons. Capital at risk.
- Invest From: £25 pm
A low cost FTSE 250 tracker with a 0.12% pa annual charge. Tracks the 250 largest listed companies in the UK. A low cost way to invest in this area of the market.
FTSE 250 Index Tracker Fund ISAs
Investing in FTSE 250 Index tracker investment funds in the UK have become increasingly popular due to increased awareness of investment costs associated with active managed funds over time which do not always perform better.
Why Invest In The FTSE 250 Index Tracker Fund Within An ISA?
Some things to consider include:
- Are you looking for a UK tracker fund – Tracker funds in the UK typically follow the FTSE 100 or the FTSE All-Share.
- What am I investing in? – You are typically buying into all the companies that make up the FTSE 250 Index. These are predominantly UK based companies ranked 101st to 350 based on capitalisation. Companies include Direct Line, Greggs, Moneysupermarket.com and Virgin Money. You can see a current list here at the stock exchange.
- Who provides FTSE 250 UK tracker funds? – Providers include Vanguard and HSBC which you can access via fundsupermarket platforms including Hargreaves Lansdown offer a platform where you can invest in a range of Tracker options as well as Fidelity International who offer a range of low cost ETF tracker funds.
- Charges – The lower the better. the good news is that unlike managed funds most tracker funds have no initial or exit fees.For international trackers you may have to pay a bit more.
- Some providers have a simple interface with clear copy about each investment and its past performances. Make sure you find one that you find easy to use, helpful and clear
Over the last decade the costs of investing in tracker funds have come down considerably. It makes sense to shop around to find the right tracker fund for you.
Frequently Asked Questions
Can I open an index tracker fund ISA with my partner?
As ISA accounts can only be held by individuals you cannot open a joint index tracker fund ISA account.
How much can I contribute to an FTSE 100 Tracker Fund ISA?
You can withdraw from a FTSE 100 Tracker Fund ISA at any time.
Can I have more than one index tracker fund ISA?
You can invest in more than one index tracker fund in your Stocks and Shares ISA account. You can also have more than one Stocks and Shares ISAs at once, but you cannot contribute to them both in the same tax year.
Can I transfer my ISA into an index tracker fund ISA?
You can transfer either a Cash ISA or another Stocks and Shares ISA into an index tracker fund ISA. You will need to complete a transfer form with your new ISA provider to do this.
How do I apply for an index tracker fund ISA?
You can open an index tracker fund ISA online, over the telephone or by post.
You will need to add money to open your account, either by debit card payment or via a Direct Debit contribution.