Autumn Investments: The Top Funds by ISA Type for September 2020
The end of the summer of 2020 is looming. The leaves are starting to turn, there’s a crisp edge to the air – and the clock of the tax year keeps on ticking. There are lots of opportunities to invest your yearly ISA allowance in an ISA which suits you, so we’ve put together a list of the our picks for each type of ISAs you should consider.
Index Tracker ISAs
iShares FTSE 100 UCITS ETF Tracker
This fund will allow you to invest from £50 per month and gives you access to funds in the FTSE 100 index on the London stock exchange – at great, competitive prices.
Vanguard FTSE 100 UCITS ETF Tracker
With this fund you can invest from £25 per month in this fund; it also gives you the access to the FTSE 100 Index. This works by tracking the performance of the index and replicating the performance.
Fund Supermarket ISAs
Interactive Investor Stocks and Shares ISA
This is an excellent investment ISA which offers you access to over 40,000 funds including both UK and global investment. You can invest in this from a lump sum or from £25 per month. You can open one of these online in as little as ten minutes, and gain access to a range of funds, investment trusts, ETF’s and more.
Fidelity Stocks and Shares ISA
In this ISA, you have options of over 2,000 funds and over 100 different fund providers. Investments can be made from either £50 per month or with a £1000 lump sum. They also offer various different investment tools which can help support a first-time investor through the process.
High Income ISAs
Artemis High Income ISA
This fund is available via Hargreaves Lansdown, which holds a focus on high yield bonds and shares. It is managed by an experienced bond investor with a flexible approach to finding the best income opportunities. It is a bit more volatile, so this is an account more suited to an individual with a higher risk tolerance; but it does offer an attractive 5.29% per annum yield.
Aviva Investors Listed Equity Income
This fund is also available via Hargreaves Lansdown – however, this one offers a 4.79% per annum yield. But what makes this ISA different is that it puts more of an emphasis on dividends – and dividend growth – which makes this more like a traditional UK equity income fund than the Artemis option.
Legal and General Ethical ISA
This Ethical ISA tracks the FTSE 350 Index which excludes shares of specific companies which don’t meet ethical guidelines or thresholds. You can invest in this fund from up to £25 per month; this way you can make sure that the money you want to invest will be invested in line with the values that you hold.
Kames Capital Ethical Equity
This ethical ISA has the bonus of being managed Audrey Ryan, an experienced fund manager who has handled the constraints of an ethical fund over the long run: so you know your investment is in good hands. You can invest in this fund from £25 per month – or a lump £100 sum; you can access this fund at Hargreaves Lansdown.
iShares FTSE 100 ETF Tracker
This fund works by tracking a FTSE 100 index; you are able to invest from £50 per month and for that investment – you can get exposure to the FTSE 100 index of the biggest companies which are listed on the London Stock Exchange.
Vanguard FTSE 100 UNITS ETF Tracker
For this fund, you can invest from £25 per month for access to a fund which tracks the performance of the FTSE 100 Index. This fund employs a passive management approach, and seeks to replicate the performance of the index.
iShares Physical Gold ETC Fund
For this Gold ISA, you can invest from up to £50 per month in a physical investment commodity; this particular fund is backed by physical gold. This iShares Physical Gold ETC looks to track the daily movements of the price of gold by holding a gold bullion. This backs the securities issues and is valued every day at the London PM fix price.
Wisdom Tree Physical Gold (GBP)
This offers you a simple, cost-effective way for investors to access the physical Gold market. It offers a return that is equivalent to the movements of the gold spot price. Backed by physically allocated gold (help by custodian HSBC Bank plc), this fund only considers the metal which confirms with the London Bullion Market Association (LBMA) rules for Good Delivery which can be accepted by the custodian.
Monthly Income ISAs
Artemis High Income ISA
As stated before, this fund is available via Hargreaves Lansdown. It holds a focus on high yield bonds and shares. It is managed by an experienced bond investor with a flexible approach to finding the best income opportunities. It is a bit more volatile, so this is an account more suited to an individual with a higher risk tolerance; but it does offer an attractive 5.29% per annum yield.
Hargreaves Lansdown Multi Manager High Income
This ISA works by blending together different types of funds and moving between areas of the market when they spy emerging attractive opportunities. The idea of this is that over time, the income payment will grow and therefore, they can then invest in smaller (higher risk) companies, which offer great potential for growth. This ISA offers a 5.03% per annum yield.
Share Dealing ISAs
Fidelity Share Dealing ISA
This is a low cost option for a share dealing ISA – there are low fees at only £10 for each deal placed online. You gain access to a wide range of UK shares, funds and trusts including ETFs and Investment trusts. You also get access to market and shares data, tools and insights to help you through. With this you can:
- Trade from £1.50 per deal (if you are a frequent trader)
- Trade from £10 per deal (if you are a standard trader)
Interactive Investor Share Dealing ISA
This is another low cost option for a share dealing ISA, which offers a fixed service fee which works well for people who trade very frequently. There are lots of different options for various levels of trading which have different price points, so you an find the right one for you. With access to over 40,000 UK and Global funds and over 17 global stock exchanges, there is a plethora of choice with this ISA.
Self Select ISAs
AJ Bell Share Dealing ISA
Don’t let the name fool you – while this is a share dealing ISA, it’s also our pick for one of the best Self Select ISAs in the game. And the awards speak for themselves – it was voted ‘Best Execution Only Broker 2020’ in the ADVFN International financial Awards. If you place 10 deals or more each month while only paying £4.95 each month for an online deal. You can pay as little as £1.50 and never pay more then £9.95 for a trade online. AJ Bell is one of the UK’s largest online investment platforms with £48.3 billion in assets under administration for 262,000 customers.
- Trade From (frequent trader rate): £4.95
- Trade From (standard trader rate): £9.95
Hargreaves Lansdown Share Dealing ISA
Again, don’t let the name on the tin fool you: this is a Self Select ISA. You can deal online from just £11.95 per deal (or £5.95, if you are a regular trader). Regular savers can expect to pay only £1.50 per deal – as well as being able to trade shares both online, by phone or by post.
Structured Growth ISAs
MB Structured Investments UK Growth Kick Out Plan
With a term of up to 6 years, this structured growth ISA boasts a 9.00% per annum maximum potential return rate. They allow ISA transfers from other ISA accounts or types of ISAs, so it’s one to look at if you’re wanting to diversify your ISA investment portfolio this autumn. It’s counterpart is Barclay’s PLC, a familiar high street bank.
Invested FTSE 100 8 Year Kick Out Plan
With a term of up to 8 years, this structured growth ISA boasts a 8.25% per annum maximum potential return rate. They also allow ISA transfers from other ISAs, so again it is a useful one to look at if you’re looking to diversity. With a longer term, this is a good option if you are looking for something a bit more long-term. It’s counterpart is Investec Bank PLC.
So – there you have it: our breakdown of our top picks for every type of Investment ISA for this autumn. Happy investing! Want to know more? You can read more about each of the different types of ISAs as well as other excellent products in the links below.