Home Products Tax-free investments Stocks & Shares ISA The detail

Stocks & Shares ISA (Individual Savings Account)

A tax-free investment

Stocks & Shares ISA is an Individual Savings Account (ISA) – a way of sheltering your money from the taxman, because you don’t have to pay income or capital gains taxes on the proceeds from your investment (other than tax on the dividends from shares). However, the fund in which you invest receives UK dividend income net of corporation tax. Please note that tax treatment depends on your individual circumstances and the levels and basis of taxation may change in the future.

Pay in from £15 a month. Invest up to £11,520 this tax year.

Remember though, the value of these funds can go down as well as up and your original investment is not guaranteed.

Use your stocks and shares allowance

You can pay from £15 per month into your Stocks & Shares ISA. Or you can pay in lump sums of £500 and upwards. You can invest up to £11,520 each tax year. This is the maximum annual allowance of which up to £5,760 can be allocated to a Cash Account with another ISA manager in this tax year.

You can withdraw money from your Stocks & Shares ISA whenever you want. However, you should aim to leave it longer than five years as the Stocks & Shares ISA aims to provide capital growth after 5 to 10 years.

We aim to keep costs low. For Stocks & Shares ISA you pay an initial charge of 4% and an annual management charge of 1%. For details, please see Key Features.

Your choice of investment funds

You can decide whether your money is invested in the Managed Growth Fund or the UK Growth Fund or split it between the two.

The Managed Growth Fund is invested mainly in UK equities and additionally in global equities. An element of security is added by investing a smaller proportion into fixed interest securities such as government bonds. Our investment team uses their expertise to decide which are the best growth opportunities.

The UK Growth Fund gives you good potential for growth from a carefully selected portfolio of leading blue-chip companies. It invests solely in UK equities, although a proportion may be held in cash. This is a medium-risk fund that aims to outperform the stockmarket.

The funds are managed by SVM Asset Management, a firm with many years of experience and headed by Colin McLean, one of the UK's best-known fund managers. However, past performance is not a guide to future performance.

So with Stocks & Shares ISA you use the strengths of expert fund managers who aim to profit from the long-term potential of the stock market on your behalf. As you know, the value of these funds can go down as well as up and your original investment is not guaranteed. You could get back less than you have paid in.

If these funds are not suitable for your needs you may want to consider our Bonus ISA which allows you to grow your tax-free allowance by investing in our With-Profits Fund.

Get your Stocks & Shares ISA

Opening a Stocks & Shares ISA with Scottish Friendly is easy.

Make sure you have read and understood the Key Features and Key Investor Information Document relevant to your selected fund(s)before you apply.For further information relating to the charges and costs associated with your selected fund(s), as detailed in the Key Investor Information Documents, please see our Enhanced disclosure of fund charges and costs page. Then you’re ready to:

  • Download an application form and post it to:
    Scottish Friendly Assurance, FREEPOST, Glasgow G2 4BR.
  • Or order an information pack which we’ll send you in the post.

If you apply, we suggest printing or saving a copy of this page, other relevant pages, the Key Features and Key Investor Information Document relevant to your selected fund(s).

Apply now

Taking out an investment plan with us is straightforward

Thank you for choosing to apply. All you have to do is follow five simple steps:

  1. Before you apply, please ensure that you have read and understood the information provided on Stocks & Shares ISA.
  2. Then download and carefully read the Key Features and Key Investor Information Documents relevant to your selected fund(s).
  3. Download the Stocks & Shares ISA application form.
  4. Print your completed application form, then sign and date it correctly.
  5. Finally, post your completed application form to:
    Scottish Friendly Assurance, Freepost, Glasgow, G2 4BR.

Download Application Form

Before you continue, you should ensure you have read and understood the Key Features document. This is our standard client agreement upon which we intend to rely. For your own benefit and protection you should read these terms carefully. If you do not understand any point please ask for further information.

Call us on 0333 323 5433 if you have any further questions about this plan or how to apply for the Stocks & Shares ISA. The information provided relates to Scottish Friendly only.

Lines are open 8.30am-5.30pm, Monday to Friday.

Scottish Friendly may record and monitor calls.

Scottish Friendly is not responsible for the accuracy of the information displayed on externally linked third party websites. The Scottish Friendly Group of Companies consists of the following companies: Scottish Friendly Assurance Society Limited – Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Member of AFM, Member of ABI: Life, Savings and Investments. Scottish Friendly Asset Managers Limited – Authorised and regulated by the Financial Conduct Authority. Member of IMA. Registered in Scotland No 187215: OEIC Managers, ISA Managers. Scottish Friendly Insurance Services Limited – Authorised and regulated by the Financial Conduct Authority. Registered in Scotland No 113007. SFIS (Nominees) Limited - Registered in Scotland No 397351. Head office: Scottish Friendly House, 16 Blythswood Square, Glasgow G2 4HJ.