Investment

Compare Our Best Investment Opportunities
Oliver Roylance-Smith, Director "Our investment section brings you a selection of some of the best investment ideas from the banking and fund industries. Whether you are looking for high yield income plans or growth investments, our selection is designed to inspire. Compare ISA ideas to make the most of your 2013/14 ISA allowance of £11,520. Our Fund Supermarket offers a large range of funds, or in the current market, you might want to consider capital protected investments. In all areas, our aim is to make choosing high quality investments straightforward."
 Oliver Roylance-Smith, head of savings and investments
Investing for Fixed Income
ProviderPlan NameCounterpartyISA OptionTermIncome YieldMore Info
FTSE 100 Enhanced Income PlanInvestec Bank plcyes6 years5.52%
fixed income per annum
More Info >
  • 5.52% income paid regardless of the performance of the FTSE 100
  • Monthly income
  • Available for ISA, ISA transfer and direct investment 
  • Investment deadline for ISA transfers - 9 May 2014
  • Investment deadline for direct and ISA - 23 May 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
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.
Investing for Income
ProviderPlan NameCounterpartyISA OptionTermMaximum Potential ReturnMore Info
FTSE 4 Quarterly Income PlanCredit Suisse AGyes
6 years
8.6%
per annum
More Info >
  • Up to 8.6% per year based on four FTSE 100 shares staying above 60% of their opening values
  • Quarterly payments
  • Available for ISA, ISA transfer and direct investment
  • Investment deadline ISA transfers - 18 April 2014
  • Investment deadline for 2013/14 ISA - 4 April 2014
  • Investment deadline for direct and 2014/15 ISA - 30 April 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
UK Target Income PlanAviva plc, Barclays Bank plc, Lloyds Bank plc, and The Royal Bank of Scotland plcyes
6 years
6%
per annum
More Info >
  • Up to 6% per year based on the performance of the FTSE 100
  • Quarterly payments
  • Available for ISA, ISA transfer and direct investment
  • Investment deadline stocks and shares ISA transfers - 17 April 2014
  • Investment deadline cash ISA transfers - 25 April 2014
  • Investment deadline for direct and ISA - 9 May 2014
  • Capital is at risk if the FTSE 100 Index has fallen by more than 40% at maturity from 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.
Investing for Growth
ProviderPlan NameCounterpartyISA OptionTermMaximum Potential ReturnMore Info
FTSE 4 Defensive Autocall PlanCredit Suisse AGyesUp to
6 years
13.5%
per annum
More Info >
  • 13.5% for each year (not compounded) provided four FTSE 100 stocks finish equal to or higher than the required kick out level
  • Potential to mature early every year, from year 1 onwards
  • Kick out level reduces from 95% to 65% over the term
  • Available for ISA, ISA transfer and direct investment
  • Investment deadline ISA transfers - 11 April March 2014
  • Investment deadline for 2013/14 and ISA by cheque or bank transfer - 4 April 2014
  • Investment deadline for direct and 2014/15 ISA by cheque or bank transfer - 23 April 2014
  • Capital is at risk if one or more stocks has fallen by more than 50% 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 4 FTSE 100 Autocall PlanBNP ParibasyesUp to
6 years
12%
per annum
More Info >
  • 3% for each quarter (not compounded) provided four of the largest FTSE 100 companies share prices finish equal to or higher than their starting value
  • Potential to mature early, from quarter 4 onwards
  • Kick out level reduces to 75% at the end of year 6
  • Available for ISA, ISA transfer and direct investment
  • Investment deadline ISA transfers - 22 April 2014
  • Investment deadline for 2013/14 ISA by cheuqe or bank transfer - 4 April 2014
  • Investment deadline for direct and 2014/15 ISA by cheque or bank transfer - 2 May 2014
  • Capital is at risk if the FTSE 100 Index has fallen by more than 40% at maturity from its starting value, in which case your initial investment will reduce by 1% for each 1% fall
  • 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
9.75%
per annum
More Info >
  • 9.75% for each year (not compounded) provided the FTSE 100 finishes higher than its starting value (subject to averaging)
  • Alternative collaterised options also available returning a potential 7.5% or 8% each year
  • Potential to mature early, from year 2 onwards
  • Available for ISA, ISA transfer and direct investment
  • Investment deadline ISA transfers - 9 May 2014
  • Investment deadline for direct and ISA - 23 May 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
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.
Select Income Funds
Fund ManagerFundFund Manager Initial Charge¹AMC³Income Yield*Select Fund°Fact SheetApply Now
Kames High Yield Bond0%0.75%5.20%yesFactsheetMore Info >
Income Paid Monthly. The primary investment objective is to maximise total return(income plus capital) by investing in a portfolio of predominately high yield bonds, selected investment grade bonds and cash. The fund may hold sterling and other currency denominated bonds hedged back to sterling. The fund may also invest in deposits, money market instruments, derivative instruments and forward transactions. See latest fund factsheet for details.
Invesco Perpetual Monthly Income Plus0%0.63%5.25%yesFactsheetMore Info >
Income Paid Monthly. Popular income fund that aims to achieve a high level of income whilst seeking to maximise total return through investing in high yielding corporate and Government bonds, together with UK equities. See latest fund factsheet for details.
Newton Asian Income0%0.75%5.43%yesFactsheetMore Info >
Income Paid Quarterly.The objective of the Sub-Fund is to achieve income together with long-term capital growth predominantly through investments in securities in Asia Pacific ex Japan (including Australia & New Zealand) region. The Sub-Fund may also invest in collective investment schemes. See latest fund factsheet for details.
Artemis Income0%0.75%3.80%yesFactsheetMore Info >
Income Paid Twice Yearly. This fund aims to provide an increasing income and capital growth from investing mainly in ordinary shares, preference shares, convertible bonds and fixed-interest securities in the UK. We will not be restricted in our choice of investments, either by the size of the company, the industry it trades in, or the geographical split of the portfolio. See latest fund factsheet for details.
Merlin Income Portfolio0.48%0.75%3.5%yesFactsheetMore Info >
To achieve a high and rising income with some potential for capital growth by investing predominantly in unit trusts, OEICs, Exchange Traded Funds and other collective investment schemes across several management groups. The underlying funds invest in equities, fixed interest stocks, commodities and property, principally in the UK. See latest fund factsheet for details.
M&G Global Dividend0%0.75%3.27%yesFactsheetMore Info >
Income Paid Quarterly. The Fund aims to deliver a dividend yield above the market average, by investing mainly in a range of global equities. The Fund aims to grow distributions over the long-term whilst also maximising total return (the combination of income and growth of capital). See latest fund factsheet for details.
M&G Optimal Income0%0.75%2.31%yesFactsheetMore Info >
Income Paid Twice Yearly.The fund aims to provide a total return to investors based on exposure to optimal income streams in investment markets. The fund invests across a broad range of fixed income assets according to where the fund manager identifies value. See latest fund factsheet for details.

*Current Income Yields are Gross, Variable and Not Guaranteed as at 17/10/13 - Yields are rounded down to one decimal place - See latest Fund Factsheet for details.

³AMC is the Annual Management Charge applied by the Fund Manager. 

°Select Fund - See how our funds are selected

 

Bonds: To provide the potential for overall returns these funds invest in bonds, also known as fixed interest securities. This is achieved by receiving regular interest on loans to companies or governments. There is a chance the bond issuer could fall into financial difficulty and will not be able to pay the interest or the loan back, which could result in a fall in your investment returns. Bonds can also be sensitive to trends in interest rate movements and if interest rates go up, the returns on your investment are likely to fall as bonds can become less attractive. On the other hand, if interest rates fall, bonds are likely to become more attractive and your investment returns increase.

About Investment Plans


The investment plans featured on this site have defined investment terms where the investment objectives and investment risks are clearly outlined in the plan literature available on request. The investment plans we feature can be classified under two categories:

 

Deposit Plans

Deposit Plans or Structured Deposit Plans offer a return of initial capital and a potential return linked to the performance of an underlying asset such as the FTSE 100. These plans are cash based and should be seen as an alternative to cash deposits such as fixed rate bonds. They are taxed in the same way as cash deposits ( returns are generally taxed as income in the hands of investors) and are attractive to risk averse investors as they are given the same protection falling under the Financial Services Compensation scheme (FSCS).

 

Investment Plans

Investment plans or structured investment plans are designed to meet the requirements of different investors as either a complement or alternative to traditional direct equity or fund investment. Plans are designed taking into account investment risk versus investment return, protection and timescales. Structured investment plans are typically equity linked and provide exposure to market risk but often with protection built in so restricting the upside but also mitigating the downside. This balance of risk is attractive particularly in uncertain markets. Plans are backed by major financial institutions who provide the assets for the plan (known as the counterparty). Investment returns from investment plans often fall under CGT tax rules which can be attractive particularly to higher rate tax payers.


 

Benefits of Investment Plans


Both structured deposit and investment plans provide investment opportunities allowing investors to make investment returns on markets over set periods of time while maintaining a level of risk control. Investors depending on their plans can also gain access to a range of alternative asset classes including world major equity indices, commodities and currencies. Most of the investment plans featured on this site are equity linked and offer different levels of capital risk and market exposure.

 

Capital at risk plans often offer features to reduce risk exposure to market falls by the use of a barrier. Typically the barrier will be set at 50% of the initial level of the underlying asset. The two main types of barrier are the final day barrier (European barrier) where the underlying asset is only observed on the final day of the investment. Variations of the European barrier may include plans where the barrier is based on the value of the underlying asset based on average e.g. an average of the underlying asset over the last 3 months of the plan. This averaging again is a risk control reducing the impact of any sudden falls in the last stages of an investment term, although conversely it can also restrict growth potential in a rising market. The second type of barrier often used is the closing/intra day barrier (American barrier) where the value of the underlying asset is observed throughout the life of the investment plan on a daily basis. In the event of a breach of the barrier the capital invested will be at risk in some way depending on the plan terms.

 

With investment plans an individual savings account (ISA) can be used as a wrapper to provide investors with tax efficient returns. For 2013/14 the HMRC set ISA allowance is £11,520 per individual, of which up to £5,760 can be invested in a deposit plan. With an investment ISA the full £11,520 can be used to benefit from tax efficient returns.


 

Investment Plans & Ideas for Short Medium and Long Term Growth


In assessing the top investments ideas we make a distinction between income and growth investors and provide a range of options depending on your requirements:

 

Growth Investments

For investors seeking growth investment opportunities on this site we feature a range of different plans that have different features. The investment plans we promote may include kick out investment plans which offer investors a pre-determined rate of return based on the performance of the underlying asset performing sufficiently well at a given series of dates. Accelerated Growth Plans which offer investors the potential of leveraged exposure to the upside performance of an underlying asset. Digital plans that offer a fixed investment returns providing the plans requirements are met. Typically these plans will either return the original capital and the payoff or just the original capital.

 

Income Investments

For investors requiring income we regularly offer a range of income investment plan options. For investors who require capital protection deposit based plans can provide an attractive alternative to fixed rate bonds although income payments will be linked to the performance of an underlying asset so are usually not guaranteed. For investors who are comfortable with capital risk, reverse convertible or income plans provide a fixed income on a monthly, quarterly or annual basis. With these plans income payments are fixed and capital will be returned as long as the underlying asset does not fall below the set barrier. 

 

Investment ISAs

Using your ISA allowances should be your first port of call when investing to mitigate any tax resulting from income or capital gains. With an investment ISA you can invest up to £11,520 per individual. Most investment plans and investment funds can be placed in an ISA, although always check the terms and conditions.

 

Other Savings & Investment Opportunities


In considering the best investment and savings options for you could also consider the following:

 

High Interest Savings Accounts

If you need short term access to your money, high interest savings accounts provide a way for savers to get a better rate of interest with capital security. Notice savings accounts which require savers to provide notice before withdrawing savings of anything up to 180 days often pay better interest than easy or instant access savings accounts.

 

Cash ISAs

If you looking to save tax efficiently for the 2013/14 tax year you can put up to £5,760 per individual into a cash ISA and shelter any interest from the taxman. 

 

Fixed Rate Bonds

If you are happy locking up capital for a set period of anything from 6 months to 5 years a fixed rate bond will generally provide higher interest rate returns than instant access savings accounts. Fixed rate bonds are a low risk investment as your original capital will be returned at maturity.

 

Fund Supermarket

For investors looking to invest in funds we offer a fund supermarket service which allows you to select your own income or growth funds at low cost. With over 1500 funds to choose from including many of the top investment performing funds with most available at no initial charge and many with discounted annual charges you can choose from some of the best investment funds available in the UK, including funds that have a low risk investment profile to funds that provide the potential of higher returns but also with a higher risk to capital.

 

Our Fund Supermarket service provides you with online access to your investment accounts 24/7 so you can monitor fund performance. 

 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.