Investment Trusts
Spread the risk with investment trusts...
Investment trusts invest in the shares of different companies, allowing investors to spread their risk.
The main difference from
unit trusts is that investment trusts are themselves companies in which you buy shares. So you're investing directly, rather than indirectly through an open-ended fund.
Because investment trust share prices are affected in part by supply and demand, their value can fluctuate more often than units in unit trusts.
| FTSE Income Plan - Conditional Income Option |  | 6.50% pa* | |
| 5 Year Structured Income Plan offering an annual yield of 6.50%. Can be used for ISA transfers & SIPP investment. |
| Barclays Wealth Regular Income Bond | | 6.00% pa† | |
| 6 Year Structured Income Bond with an annual yield of 6.00% or monthly at 0.4875%. Can be used for ISA transfers & SIPP investment. |
| FTSE Income Plan - Fixed Income Option | | 5.80% pa | |
| 5 Year Structured Income Plan offering an annual yield of 5.80%. Can be used for ISA transfers & SIPP investment. |
| Investec 5 Year FTSE 100 Income Deposit Plan | | 4.75% pa* | |
| 5 year capital protected deposit plan with an annual yield of 4.75% or a monthly yield of 0.38%. The plan can be used for cash ISA investment or cash ISA transfer. |
| The Royal Deposit Plan | | 4.00% pa† | |
| 3 year fixed rate deposit plan that returns 4.00% a year. The plan can be used for cash ISA investment or cash ISA transfer. |
| Schroders Income Maximiser | | See Details | |
The Schroder Income Maximiser Fund ISA aims to deliver a target income yield of 7% pa, also providing potential capital growth. Income is paid quarterly.
Click here to view latest Fund Facts » |
| Invesco Perpetual Monthly Income Plus Fund | | See Details | |
Popular monthly 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. 100% discount on initial charges.
Click here to view latest Fund Facts » |
| Henderson Strategic Bond Fund | | See Details | |
The aim of this fund is to deliver a quarterly income to investors by investing in higher yielding assets, which will include most types of fixed interest securities such as high yield bonds, investment grade bonds and government gilts, as well as having the ability to invest a proportion of the fund in equities. Income is paid to you quarterly.
Click here to view latest Fund Facts » |
| Invesco Perpetual Corporate Bond Fund | | See Details | |
This highly popular investment fund aims to achieve a high level of overall return with relative security to capital. Income Paid to you twice yearly. Up to a 100% Discount off the Standard Initial Fund Charge.
Click here to view latest Fund Facts » |
| Artemis Income Fund | | See Details | |
One of the leading UK Equity Income Funds. The Fund managers hunt out companies with strong free cash flow and solid balance sheets. Income is paid to you twice yearly. 100% Discount off the Standard Initial Fund Charge.
Click here to view latest Fund Facts » |
| Jupiter Corporate Bond Fund | | See Details | |
The Jupiter Corporate Bond aims to achieve a high level of income with the opportunity for capital growth, through mainly investing in fixed interest securities. Income is paid to you twice yearly. 87.5% Discount off the Standard Initial Fund Charge.
Click here to view latest Fund Facts » |
| Invesco Perpetual High Income Fund | | See Details | |
One of the UK's most popular income funds, the Invesco Perpetual High Income has delivered consistently good long term returns through a variety of market conditions. Income is paid to you twice yearly. Up to a 100% Discount off the Standard Initial Fund Charge.
Click here to view latest Fund Facts » |
| M&G Corporate Bond Fund | | See Details | |
| The M&G Corporate Bond Fund is a conservative ‘blue chip’ sterling fund that aims to produce a higher return than UK government bonds. Income is Paid to you Quarterly. 100% Discount off the Standard Initial Fund Charge. |
| Jupiter Merlin Income Portfolio | | See Details | |
The Jupiter Merlin Income Portfolio fund aims to achieve a high and rising income with some potential for capital growth. Income Distributions are made to you quarterly. 95% Discount off the Standard Initial Charge.
Click here to view latest Fund Facts » |
* Income payments are dependent upon the FTSE 100 Index.
† Guaranteed income payments.
Disclaimer (Please Read)
General risk warnings
- The list of funds/investments provided above should not be seen in any way as being a recommendation. No advice has been given and you should be aware that any investment which takes place will be transacted on a “non-advised sale” basis.
- Full details of the investments will be provided in the documentation/brochure sent to you and it is up to you to ensure that you fully understand the nature of the investment before proceeding. If you are at all unsure of the suitability of the type of investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.
Collective investments
- Collective investments such as unit trusts are designed as medium to long term investments, for example at least five years.
- The value of your investment and the level of any income received from it can fall as well as rise and is not guaranteed and you may not get back the amount of your original investment.
- Any income yield quoted is correct at the time of going to press. Income yields vary and are only estimates. The actual dividend income that you receive will depend upon the income payable by the underlying assets of the fund and could change, either up or down, at any time. Dividend income from an ISA will, under current legislation, be free of UK income tax. Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
- If you choose a fund which invests overseas, there is the addition of “exchange rate” risk which could reduce any gains or increase losses if the currency moves against you.
- Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
Structured Products
- Structured Products are fixed term investments and are designed so that your capital remains invested for the full term of the plan. Although it may be possible to encash your investment before the end of the term, this could mean that an early encashment charge is applied and you may not get back the full amount of your capital.
- An investment termed as a “capital guaranteed structured product” is one where the return of your capital at maturity is not dependent upon the performance of an index or another financial instrument
- An investment termed as a “capital at risk structured product” is one where the return of your capital at maturity is dependent upon the performance of an index or another financial instrument.
Specific ISA warnings
- 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.
- Dividend income from a stocks and shares ISA will, under current legislation, be free of further liability to UK income tax whether this is paid out or automatically reinvested.
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| Barclays 6-Year Defined Returns Plan | | £3,600 | |
| 6 year Capital Protected Structured Investment Plan offering a maximum return of 44%. |
| Investec FTSE 100 3 Year Deposit Plan | | £1,500 | |
| This capital protected deposit plan offers a maximum return of 18% at maturity. |
| Investec FTSE 100 Geared Returns Plan | | £1,500 | |
| This 5 year structured investment plan offers a maximum return of 62.5% at maturity. |
| Barclays Defined Returns (Annual Kick-Out 90) Plan | | £3,600 | |
| 6 year structured investment plan that offers an opportunity for attractive pre-defined returns at 7.75% a year. Potential to kick-out after 3 yearsif the FTSE is above 90% of its starting level.. |
| Investec FTSE 100 Enhanced Kick-Out Plan | | £1,500 | |
| 5 year structured investment plan offering a fixed return of 9.25% a year with the potential to kick-out after year one. |
| Barclays Defined Returns (Annual Kick-Out 100) Plan | | £3,600 | |
| 6 year structured investment plan that offers an opportunity for attractive pre-defined returns at 7.75% a year. Potential to kick-out after 2 years if the FTSE is above its starting level. |
| Skipton Building Society Guaranteed Double Asset Bond |  | £3,000 | |
| 1/3 invested in a 6% 1 Year Fixed Rate Bond. 2/3 invested into a FTSE 100 Index Linked Bond which returns 100% of any positive growth up to a maximum return of 50%. |
| Barclays 5 Year UK Super Tracker | | £3,600 | |
| This 5 year structured investment plan returns 4x any growth in the FTSE 100 index up to a maximum of 64%. |
| Investec FTSE 100 Kick-Out Deposit Plan | | £1,500 | |
| Structured deposit plan with two options offering returns of up to 6.75% per year. Potential to kick out after 2 or 3 years depending on the option. |
| Morgan Stanley FTSE Kick Out Growth Plan | | £3,000 | |
| This 6 year structured investment plan offers the potential to kick out after 3 years with a maximum return of 50%. |
| Morgan Stanley FTSE Best Entry Growth Plan | | £3,000 | |
| This 6 year structured investment plan offers 2.85 times any positive growth in the FTSE 100. |
| Morgan Stanley FTSE Tracker Plus Plan | | £3,000 | |
| This 6 year structured investment plan offers a return of 1.2 times any positive growth in the FTSE 100, with 80% capital protection. |
| Morgan Stanley FTSE Protected Growth Plan | | £3,000 | |
| This 6 year structured investment plan offers a return of up to 20% with the potential to kick out after 3 years. |
| Investec FTSE 100 5 Year Deposit Plan | | £1,500 | |
| This 5 year capital protected deposit plan offers a maximum return of 40% at maturity. |
| Fidelity China Special Situations PLC | | £2,500 | |
| NEW LAUNCH NOW OPEN - To be managed by Anthony Bolton one of the UK's most renowned fund managers who believes the investment opportunity presented by China is just too good to miss. No Initial Charges if you invest by 5th April 2010. |
Disclaimer (Please Read)
General risk warnings
- The list of funds/investments provided above should not be seen in any way as being a recommendation. No advice has been given and you should be aware that any investment which takes place will be transacted on a “non-advised sale” basis.
- Full details of the investments will be provided in the documentation/brochure sent to you and it is up to you to ensure that you fully understand the nature of the investment before proceeding. If you are at all unsure of the suitability of the type of investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.
Collective investments
- Collective investments such as unit trusts are designed as medium to long term investments, for example at least five years.
- The value of your investment and the level of any income received from it can fall as well as rise and is not guaranteed and you may not get back the amount of your original investment.
- Any income yield quoted is correct at the time of going to press. Income yields vary and are only estimates. The actual dividend income that you receive will depend upon the income payable by the underlying assets of the fund and could change, either up or down, at any time. Dividend income from an ISA will, under current legislation, be free of UK income tax. Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
- If you choose a fund which invests overseas, there is the addition of “exchange rate” risk which could reduce any gains or increase losses if the currency moves against you.
- Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
Structured Products
- Structured Products are fixed term investments and are designed so that your capital remains invested for the full term of the plan. Although it may be possible to encash your investment before the end of the term, this could mean that an early encashment charge is applied and you may not get back the full amount of your capital.
- An investment termed as a “capital guaranteed structured product” is one where the return of your capital at maturity is not dependent upon the performance of an index or another financial instrument
- An investment termed as a “capital at risk structured product” is one where the return of your capital at maturity is dependent upon the performance of an index or another financial instrument.
Specific ISA warnings
- 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.
- Dividend income from a stocks and shares ISA will, under current legislation, be free of further liability to UK income tax whether this is paid out or automatically reinvested.
Hide Disclaimer
| Fidelity China Special Situations PLC | | £2,500 | |
| NEW LAUNCH NOW OPEN - To be managed by Anthony Bolton one of the UK's most renowned fund managers who believes the investment opportunity presented by China is just too good to miss. No Initial Charges if you invest by 5th April 2010. |
| Jupiter Financial Opportunities Fund | | From £50 Per Month | |
A popular fund that seeks to achieve long-term capital growth principally through investment in equities of financial sector companies on an international basis.
Click here to view latest Fund Facts » |
| BlackRock Gold and General Fund | | From £50 Per Month | |
The BlackRock Gold & General Fund is aims to achieve long term capital growth by investing in gold, mining and precious metal related shares.
Click here to view latest Fund Facts » |
| Jupiter China Fund | | From £50 Per Month | |
The Jupiter China Fund is designed for investors who want to make the most of China's next growth wave. Save up to 90% off initial charges.
Click here to view latest Fund Facts » |
| Schroders Medical Discovery Fund | | From £50 Per Month | |
The fund provides an opportunity to invest in a diverse global medical industry, which is attracting increased resources, both public and private, as the population of the developed world ages. 100% discount off initial charges.
Click here to view latest Fund Facts » |
| Jupiter Ecology Fund | | From £50 Per Month | |
The objective of the Fund is to achieve long-term capital appreciation together with a growing income consistent with a policy of promoting environmental and social change. Save up to 90% off initial charges.
Click here to view latest Fund Facts » |
| Jupiter India Fund | | From £50 Per Month | |
With over 7,000 quoted companies in India there are many opportunities for the patient investor to buy high growth businesses at attractive prices. Save up to 90% off initial charges.
Click here to view latest Fund Facts » |
Disclaimer (Please Read)
General risk warnings
- The list of funds/investments provided above should not be seen in any way as being a recommendation. No advice has been given and you should be aware that any investment which takes place will be transacted on a “non-advised sale” basis.
- Full details of the investments will be provided in the documentation/brochure sent to you and it is up to you to ensure that you fully understand the nature of the investment before proceeding. If you are at all unsure of the suitability of the type of investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.
Collective investments
- Collective investments such as unit trusts are designed as medium to long term investments, for example at least five years.
- The value of your investment and the level of any income received from it can fall as well as rise and is not guaranteed and you may not get back the amount of your original investment.
- Any income yield quoted is correct at the time of going to press. Income yields vary and are only estimates. The actual dividend income that you receive will depend upon the income payable by the underlying assets of the fund and could change, either up or down, at any time. Dividend income from an ISA will, under current legislation, be free of UK income tax. Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
- If you choose a fund which invests overseas, there is the addition of “exchange rate” risk which could reduce any gains or increase losses if the currency moves against you.
- Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
Structured Products
- Structured Products are fixed term investments and are designed so that your capital remains invested for the full term of the plan. Although it may be possible to encash your investment before the end of the term, this could mean that an early encashment charge is applied and you may not get back the full amount of your capital.
- An investment termed as a “capital guaranteed structured product” is one where the return of your capital at maturity is not dependent upon the performance of an index or another financial instrument
- An investment termed as a “capital at risk structured product” is one where the return of your capital at maturity is dependent upon the performance of an index or another financial instrument.
Specific ISA warnings
- 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.
- Dividend income from a stocks and shares ISA will, under current legislation, be free of further liability to UK income tax whether this is paid out or automatically reinvested.
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| Childrens Savings | £5 per month | |
| Up to £25 FREE Boots Voucher When you set up a Direct Debit Online. |
| Share Trading Account Plus | N/A | |
| Trade in a wide variety of investment options including International Equities, Warrants and Covered Warrants. Frequent traders get a reduced rate of £9.95 |
Disclaimer (Please Read)
General risk warnings
- The list of funds/investments provided above should not be seen in any way as being a recommendation. No advice has been given and you should be aware that any investment which takes place will be transacted on a “non-advised sale” basis.
- Full details of the investments will be provided in the documentation/brochure sent to you and it is up to you to ensure that you fully understand the nature of the investment before proceeding. If you are at all unsure of the suitability of the type of investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.
Collective investments
- Collective investments such as unit trusts are designed as medium to long term investments, for example at least five years.
- The value of your investment and the level of any income received from it can fall as well as rise and is not guaranteed and you may not get back the amount of your original investment.
- Any income yield quoted is correct at the time of going to press. Income yields vary and are only estimates. The actual dividend income that you receive will depend upon the income payable by the underlying assets of the fund and could change, either up or down, at any time. Dividend income from an ISA will, under current legislation, be free of UK income tax. Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
- If you choose a fund which invests overseas, there is the addition of “exchange rate” risk which could reduce any gains or increase losses if the currency moves against you.
- Dividend income paid from a fund not held within an ISA will be subject to income tax, which may or may not be reclaimable depending upon your circumstances and the type of investment. In some cases, there may be additional income tax to pay.
Structured Products
- Structured Products are fixed term investments and are designed so that your capital remains invested for the full term of the plan. Although it may be possible to encash your investment before the end of the term, this could mean that an early encashment charge is applied and you may not get back the full amount of your capital.
- An investment termed as a “capital guaranteed structured product” is one where the return of your capital at maturity is not dependent upon the performance of an index or another financial instrument
- An investment termed as a “capital at risk structured product” is one where the return of your capital at maturity is dependent upon the performance of an index or another financial instrument.
Specific ISA warnings
- 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.
- Dividend income from a stocks and shares ISA will, under current legislation, be free of further liability to UK income tax whether this is paid out or automatically reinvested.
Hide Disclaimer
As with unit trusts, investment trusts differ in the kinds of companies they invest in - some being more 'high risk' than others. Some focus on capital growth with very little income from dividends, and others invest for a steady income from dividends with some chance of capital growth.
Individual private investors rarely have the capital available to enable them to obtain a broad spread of investment risk in their portfolio by investing directly into stocks and shares. Investment trusts enable private investors to pool their capital, or regular savings, with others in order to obtain a broad spread of risk and consequently a more balanced portfolio.
An investment trust is in fact a company, quoted on the London stock exchange, whose business is that of investing other people’s money. Investment trusts, like unit trusts and open ended investment companies (OEICs) will have specific objectives, for example, capital growth or provision of a regular income and they will achieve this in a specific way, for example, investing in the UK or Europe, in shares, fixed interest securities or property or a combination of any of the above. This means that a “UK Growth Fund Plc” investment trust will invest in UK based shares in order to achieve capital growth for its investors.
An investment trust can be bought and sold like any other stock or share, ie, through a share dealing service or, many investment trusts now run specific savings schemes for those who wish to invest on a regular monthly basis.
There are various differences between an investment and unit trusts:-
- An investment trust has a finite number of shares whereas a unit trust will create units to meet demand and as such is open ended.
- The value of an investment trust will depend to a greater extent upon supply and demand, ie, as there are only a specific number of shares issued, if demand outstrips supply, then the value of the shares will rise.
- The value of a unit trust will directly reflect the value of the underlying shares. This is unlikely to be the case with an investment trust where, as the value is dependent upon supply and demand, it could be trading at a premium or a discount to the value of the underlying assets. Trading at a discount can have an advantage as you are obtaining exposure to those underlying assets at a lower cost than if you were investing in them directly. In addition to this, income yields tend to be slightly higher as the income is based on the value of the underlying assets and not the value of the investment trust.
- The initial and annual management costs of buying and selling investment trusts is generally less than those of unit trusts.
- Lastly, investment trusts, as companies, are able to borrow in order to invest. This “gearing” can have the effect of increasing investment returns in a rising market as the returns achieved are in excess of the repayments made in respect of the borrowing. Conversely, in a falling market, gearing can cause more volatile returns.
It is important to research the market carefully when considering this type of investment and you may be wise to consult a suitably qualified and experienced financial adviser.
Please remember that capital value of an investment trust or the income provided by it is not guaranteed and could fall and rise. You may not get back all of the capital invested, especially if encashed at a time of adverse investment conditions.