Over 50s Make The Most Of The Increased ISA Allowance At Fair Investment Company
23 September 2009 / by Rebecca Sargent
As the over 50s ISA limit increase approaches, Fair Investment Company is urging investors to make the most of it.
The ISA limit is due to increase for over 50s on October 6, and by shopping around now, over 50s could make sure that they make the most of their new ISA allowance.
The total ISA allowance is increasing from £7,200 to £10,200 for those aged 50 or above this tax year, all of which can be invested in a stocks and shares ISA, or up to £5,100 can be stowed in a cash ISA and the balance in a stocks & shares ISA.
The £3,000 boost was announced by Alistair Darling in this year’s Budget, and will be rolled out for all investors from April 6 2010. Commenting, chartered financial planner at Fair Investment Company, Sharon Bratley said:
“The new over 50s ISA limit means that the income or growth from an extra £3,000 per tax year can be shielded from capital gains and income tax. This amount may seem small, but in the current economic climate every little helps.”
There are a number of products that investors can choose to use their ISA allowance in. These range from the relative safety of cash to the capital protection of structured products and the capital at risk element of investment funds.
Because everybody’s investment needs vary, Fair Investment Company has collected a number of ISA investment options for investors to choose between in one easy to use table.
Investors can choose whether they are looking for income, growth, cash or ethical options, and will be provided with a wide range of ISA solutions. Mrs Bratley adds:
“Because there are so many ways for people to make use of their ISA allowance, it is important that they understand this and compare a range of options before choosing the best ISA deal for their circumstances.
“Returns vary, but it all depends on the level of risk an investor is willing to take. Cash rates are generally lower than other investment products, but they do offer a relatively safe option. On the other hand, it is possible to achieve a regular income as high as 7 per cent per annum in capital at risk products or significant growth prospects for equity linked investments.”
“Over 50s investors should start shopping around now to ensure that when the increase arrives, they have found the best home for their savings.” Mrs Bratley concludes.