Stocks and Shares ISAs that keep investing simple

When investing for you or your family’s future, a savings plan that’s been built to simplify investing could be exactly what you need. After all, securing your financial future and making your money work hard for you is important if you’re to achieve your goals, whether you’re saving for your first home, retirement, your children’s future, or financial independence later in life.

Investing in a Stocks and Shares ISA could help you achieve your long-term goals

With the current tax year ending on 5 April, you can still make use of your tax-free savings allowance. Each tax year, you can invest up to £20,000 across all your ISAs combined, including up to £4,000 in a Lifetime ISA (LISA). You can also invest up to £9,000 in your child’s Junior ISA (JISA). ISAs allow you to benefit from paying no tax on income earned on your investments while shielding your returns from capital gains tax (CGT).

You can also benefit from being able to have more than one Stocks and Shares ISA, as long as you stay within your overall annual ISA allowance limit. This enables you to consider investing with more than one provider.

Tax-free growth on your investments

An important advantage of a Stocks and Shares ISA is that any investment growth, dividends paid, or capital gains are tax-free. When you invest outside of an ISA, you may have to pay capital gains tax (CGT) on any profits you make above the prescribed annual allowance, or dividend tax on income received. When your investments are wrapped in a Stocks and Shares ISA, all your earnings remain yours.

Stocks and Shares ISAs offer higher potential returns compared to cash savings

Cash savings don’t carry the potential risk involved in investing, but if interest rates are low, inflation could erode the value of your money over the longer term.

Although investing comes with risks, history suggests that markets tend to grow over time, making investing an important strategy for achieving your longer-term wealth building goals. One of the easiest ways to start is by investing small, regular amounts as early as possible. Even small contributions can grow significantly over time due to compound growth.

Reinvesting returns to boost your growth potential

When you reinvest dividends paid to you, not only is that income protected from tax when it’s in a Stocks and Shares ISA, but you also benefit from the effects of compounded growth. This means your returns generate additional returns which can accelerate the growth of your investments over time.

Columbia Threadneedle makes long-term investing simpler

The Columbia Threadneedle Savings Plans have been built to simplify investing for you and your family’s future.

You can invest an opening amount of £2,000 into our range of seven investment trusts. After that you can set up a direct debit for as little as £25 a month. By investing consistently, you can take advantage of market growth while spreading the risk over time. Our investment trusts are expertly managed and provide you with a choice of regular income, long term capital growth, or a mix of the two. The funds range from UK smaller and mid-sized companies, global diversified portfolios, and private equity to property trusts.

Our Savings Plans have a simple fee structure. Regardless of how much you invest, the cost of our ISAs and General Investment accounts have a flat fee. This means the Savings Plans could help you cut through the complexity of investing for your future.

Get started with a CT Savings Plan

It’s simple and straightforward to start investing with a CT Savings Plan ISA. Just visit ctinvest.co.uk and start your investing journey on our online savings platform. You’ll be asked to select your savings plan, the investment trust you’d like to invest in and whether you’d like to set up regular contributions by Direct Debit. Once you confirm you’ve read the Key Information Document and the account terms, you’re all set to start investing. We also have a mobile app that allows you to manage your investments securely at your convenience.

Investment Risks: The value of investments and any income from them can go down as well as up, and you may not get back the original amount invested. Tax allowances and the benefits of tax-efficient accounts are subject to change, and tax treatment depends upon your individual circumstances. Each trust has different risk factors; please see the Key Information Documents (KIDs) for further details on the risks for each trust.

Issued by ©Columbia Threadneedle Management Ltd. Authorised and regulated in the UK by the Financial Conduct Authority.