The average rate of a Cash ISA has fallen to a record low of 0.82% according to Moneyfacts, ten years ago the rate averaged at 5.06%.
‘Don’t let that put you off investing though’ comments Scott Herbert, Partner & IFA, Clarke Nicklin Financial Planning.
‘It’s vital for savers to consider their options. It highlights the need to research and source the best rates possible and to continually keep a track of how your investment is performing.
‘ISAs are a great way of putting cash aside. You don’t pay tax on interest or on income or capital gains from your investments; also the ISA limit for 2016/17 is increasing to £20,000 up from the existing £15,240.
‘There are other options available for you to consider though’, he adds. ‘Whilst ISAs are an integral part of financial planning its worth looking at alternatives such as Smoothed Investment returns, cash and having an equity portfolio.
‘Whichever investment route you are suited to will ultimately depend on your attitude to risk, higher risk means higher return but for the more cautious there is less chance of losing it.’
Scott has a mass of experience and deals with many high net worth individuals. If you wish to discuss any investment strategies then please contact firstname.lastname@example.org or call 0161 495 4700 for a free no obligation appointment.
THE VALUE OF INVESTMENTS AND INCOME FROM THEM MAY GO DOWN. YOU MAY NOT GET BACK THE ORIGINAL AMOUNT INVESTED.
PAST PERFORMANCE IS NOT A RELIABLE INDICATOR OF FUTURE PERFORMANCE.