Tax Efficient Investments

Which is the right investment?

tax efficient investments

Is there a ‘best’ investment?

The answer lies in portfolio planning, allocating clients’ monies to a range of asset classes on an individual basis.

It is crucial to strategically review investments at least once a year.

The professional selection of funds and fund managers is crucial to achieve top returns.



Individual Savings Accounts (ISAs)

There are two basic types, Cash and Stocks & Shares.

Each has their own characteristics.

Growth on any ISA is tax free but growth on an Stock & Shares ISA is not guaranteed.

ISAs can be transferred to alternative providers and funds whilst retaining the tax efficient status.

With further options available like Lifetime and Innovative Finance ISAs, the far wider and ever-changing range of tax-efficient ISAs require professional financial advice.

Unit Trusts

A wide range of investments can be accessed via specialist funds and fund managers with a view to achieving above average returns in an open-ended investment.

Investment Trusts

As Unit Trusts – these investments have the added volatility of unit prices dependent on supply and demand and have a fixed investment life.

Investment Bonds

Modern Bonds have the same broad range of funds available as ISAs etc, but are particularly useful in providing tax efficient income for high rate taxpayers and for those in retirement.

Can be particularly useful for estate planning purposes.

Offshore Investment Bonds

As above but of particular interest to ex-pats or those clients who may not be UK taxpayers on encashment.

The growth of the investment is largely free of UK tax, but there is a tax liability on encashment.

Can be useful for estate planning purposes.

 The value of your investments can go down as well as up, so you could get back less than you invested.

Tax advice which contains no investment element is not regulated by the Financial Conduct Authority.

Information is based on our understanding of current tax legislation and this may change in the future.