Our tax-free Stocks & Shares ISA offers growth potential by aiming to pay you an annual bonus. You can save over the medium- to long-term without paying income tax or capital gains tax on your savings.
- Save from £30 per month, or make online payments in single lump sums
- Aims for better returns than you’d get with Cash ISAs and savings accounts
- Save alongside Help to Buy, Lifetime or Cash ISAs up to your annual £20,000 ISA limit
Thanks to smart investment decisions by the fund managers, our Stocks & Shares ISA has been able to pay a bonus every year for the last 10 years. However, the value of investments can fall, so you may get back less than you invest.
Simple to open and manage
Open a plan online in minutes with a single deposit or monthly Direct Debit payments.
Easy to manage
Control your plan online to pause, top up or change your premiums and track your savings.
We do the hard work
Our expert fund managers make smart investment decisions with a view to helping you grow your savings.
Our stocks and shares ISA aims to deliver better returns than a cash ISA.
Our stocks and shares ISA aims to deliver better returns than a cash ISA.
How we invest
Our Stocks & Shares ISA invests your savings in a with-profits fund. Unlike with an index-linked fund, a with-profits fund offers more predictable investment performance by actively ‘smoothing out’ the daily ups and downs of the market. In years when investments perform well, some of the profits are retained. This means that when market conditions aren’t as good, then we can still aim to pay an annual bonus. We’ve paid a bonus on our ISA every year since it was launched in 2008.
Our goal is to provide you with higher returns in the medium- to long-term, compared with what you’d get from a bank or building society account. So you should aim to invest for no fewer than five years.
However, in some circumstances, a market value reduction (MVR) could mean you get back less than you paid in, so the amount you receive can’t be guaranteed.
- Following periods of strong investment performance, you might get a final bonus
- Or, following periods of poor investment performance, you may get back less than the current value of your plan.
Where we invest
Our Stocks & Shares ISA is actively managed by Royal London Asset Management (RLAM).
Your savings will be invested across stocks and shares, equities, bonds, and property. This spread means you’ll benefit from a medium- to low-risk investment strategy, where the goal is to achieve greater growth than you’d get from a cash savings account.
Your savings will go into the Multi-Asset Strategies Fund (MAST), managed by Royal London. Your money will be invested responsibly, screening out or limiting investments which may be considered harmful and looking to incorporate some sustainable investments.
The annual management charge for this fund is 1.5%, deducted before your annual bonus is paid.
Of course, no investment is free from risk. The way this fund is managed means that your investment is at a medium to low level of risk. This may appeal to you if you prefer a smoother investment journey.
How we’re regulated
Shepherds Friendly is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Our Financial Services Registration Number is 109997.
Why we’re trusted
We believe in keeping things simple, and putting our members first. That’s why we’re highly rated on independent review platforms, with over 2,750 reviews across REVIEWS.io and Trustpilot.
Please keep in mind that when you take out an investment product with us your capital is at risk and you may get back less than you have put in.
Once your first deposit has been received, you will receive an ‘ISA Boost’ within 30 days. An ‘ISA Boost’ is cashback paid directly into your plan, equal to your first deposit, up to the value of £100. See our terms and conditions for more details.
Download this document for all the key information about our Stocks and Shares ISA. Remember that when you invest, your capital is at risk.
What is a Stocks and Shares ISA?
An ISA is a government-backed plan which means you won’t pay tax on any growth in your savings. From £30 a month or an initial lump sum of a minimum of £100, you can open either our standard Stocks & Shares ISA or our Sustainable Stocks & Shares ISA.
What is the ISA allowance/ISA limit?
For the 2023/24 tax year, the allowance is £20,000. The annual ISA allowance can vary each tax year. The limit is set by the government and usually rises in line with the Consumer Prices Index.
Can I have more than one ISA?
You can have one stocks and shares ISA and one cash ISA each tax year. However, you are able to transfer an ISA from one provider to another. For more information, please visit our page ‘Can I Have More Than One ISA?’.
Can I withdraw from my Stocks and Shares ISA?
You can withdraw money from your ISA whenever you want. To make a withdrawal please email [email protected], please remember to include your plan number and to send your request from the email address you have registered with us.
Depending on your bank, or during particularly busy periods, this process can take a little longer and you may receive your money around 10 working days after we receive your request. If you need the money for a particular date or purpose, we recommend allowing plenty of time for your withdrawal to be completed, in case of any delays.
If you prefer, we can send you a cheque by post upon request.
However, you should remember that our ISA is a medium to long-term investment and that making regular withdrawals could reduce the value.
Can I transfer an existing ISA?
Yes. You can transfer an existing ISA to us, using our transfer application. An ISA transfer allows you to move money from one ISA provider to another without losing the tax-free wrapper. If you try to move ISA funds by withdrawing then re-subscribing, rather than going through the proper ISA transfer process, the funds will lose their tax-free status and will count as a new ISA subscription.
- Past performance cannot be taken as a guarantee of future returns.
- Bonus rates vary from year to year depending on the performance of our investments and in some years we may not pay out any at all.
- HM Revenue and Customs may change the tax status of an ISA in the future.
- Inflation and making regular withdrawals may affect the purchasing value of your investment in the future.
- If you have been invested through periods of poor investment performance, and you leave the fund, you may get back less than the current value of your plan. This is known as a Market Value Reduction (MVR)
When you take out an investment product with us your capital is at risk and you may get back less than you have put in. All references to taxation are to UK taxation and are based on Shepherds Friendly Society’s understanding of current legislation and H M Revenue and Customs practice which may change in the future. Investment growth is by means of bonuses, the amount of which cannot be guaranteed throughout the term of the contract. Please ensure that you read the full terms and conditions of this plan which are available from your financial adviser or by contacting us directly.
Please note: No advice has been given by Shepherds Friendly, and if you are in any doubt as to whether a savings plan is suited to your needs, then you should contact a financial adviser. There may be a charge for financial advice, and the cost should be confirmed to you before any advice is given.