ISA or GIA, which one is right for you?
Here is our simple guide, explaining the two types of accounts tickr offers - ISA or GIA. At tickr, we are committed to breaking down the barriers our generation has to investments and these educational guides are one of the many ways we will be doing this.
ISA is an abbreviation for Individual Savings Account. In order to open an ISA with tickr, you need to be at least 18 and be a UK resident.
ISA’s were put in place to help incentivise people save for their future and all UK tax residents are entitled to a yearly ISA allowance of up to £20,000.
Different types of ISA
While there are a multitude of different types of ISA, the main two are: stocks and shares ISA and cash ISA. You can open one Stocks and Shares ISA and one cash ISA per year and your £20,000 allowance can be split across both. You can find out more about ISA’s from HMRC by clicking here.
The main benefit of having an ISA is that it is tax-free. Any profits made on your investments will not be taxed.
What type of ISA does tickr offer?
At tickr we offer one type of ISA, and that’s a Stocks and Shares ISA. Generally, a Stocks and Shares ISA allows you to invest into shares, funds, bonds and plethora of different investment options.
What about GIA?
Like a Stocks and Shares ISA, a General Investment Account (GIA) is an investment account that allows you to invest into shares, funds, bonds etc. Similar to our ISA you need to be 18 and a UK resident, to invest into tickr. The only difference is that you may have to pay tax on any profits made and there is no limit to how much you put into a GIA.
How investments work with tickr
Here at tickr we currently have two account options: An ISA or a GIA. We offer four different portfolios to choose from: Climate Change, Equality, Disruptive Technology and Combination. You then get the choice of three risk levels Cautious, Balanced and Adventurous. This cuts out the complexity of understanding investments, by letting you choose a portfolio based on your values and risk level.
You can withdraw from your ISA or GIA whenever you want, it is entirely up to you. However, generally, you should consider holding investments for the medium to long-term.
Can I transfer in an existing ISA or GIA?
Yes! If you are wanting to transfer in an existing ISA or GIA send us an email and we organise that for you firstname.lastname@example.org.
We hope that the guide was useful and that you're now more confident about the types of investment account you can choose from.
As with all types of investing your capital is at risk. You can read more here.