Cash ISAs

• Lets you manage your money like a typical savings account.
• They could offer instant access or pay a fixed rate of interest over a few years if you don’t think you’ll need access to your savings.
• Designed as low risk, no chance of loss products operating at a defined interest rate.
• Interest rates align with the Bank of England base rate, so at present, offer very low interest.
• Some ISAs allow you to lock in for a fixed term, thus increasing the interest payments.
• Speak to us for the best rates. 

 Stocks & Shares ISAs

• Your money is invested in the stock market.
• They’re designed for people who are happy to invest over a long period of time and are looking for potentially higher returns. You need to accept risks that come with investing in the stock market.
• The funds AWM would look to invest you in are low cost managed solutions to reduce fees where possible.

Innovative Finance ISA

• Designed for sophisticated Peer to Peer lending.
• This vehicle has been available since 6th April 2016, allowing investors tax-free gains on the capital invested.
• The IFISA is designed for higher risk clients, as their capital is exposed to default risk or missed payments, as opposed to equity or fund based risk.
• Due to the new nature of IFISA, we strongly suggest contacting us for more information.

Lifetime ISA

• For those saving for a property, the Lifetime ISA (LISA) provides government bonuses for savers to get on the ladder.
• Rather than being capped at £20,000, the LISA is capped at £4,000, however, this forms part of your £20,000 overall allowance.
• For those who have already bought their first property, the LISA can be used as an additional retirement vehicle, but cannot be withdrawn until 60 years of age without penalties applying.
• The LISA has an exit penalty if you’re withdrawing for any reason other than a first time purchase or before 60 years old. The only break of this rule is if one is terminally ill.
• For each time you contribue into your LISA, the government will add 25%of your contribution.
• A LISA can only be opened up to the age of 40 years old and if you contribute after you are 50 years old you will not receive the government bonus.
• The LISA can be invested in either cash or stocks and shares.

Junior ISA

• Act as long-term, tax-free savings accounts for children.
• Your child must be under 18 and live in the UK.
• If the child lives outside the UK, you must either be a Crown servant or the child depends on you for care.
• You can’t have a Junior ISA as well as a Child Trust Fund.
• The savings limit for Junior ISA for the 2018/2019 tax year is £4,260
• You can invest into cash or stocks and shares.
• Control of the account will be transferred to the child when they reach 16, but they can’t withdraw the money until they turn 18.