The value of investments can go down as well as up, your capital is at risk. Eligibility criteria, fees and charges apply.
What is an ISA?
An investment ISA (Individual savings account), also known as a stocks and shares ISA is an easy way to get investing for the future. The main difference between an ISA and any other savings account is that it offers tax-efficient interest payments, so you could take your money further.
There is a limit to how much money you can put into an ISA in each tax year, which is called the 'ISA allowance'. The ISA allowance for the 2020/21 tax year is £20,000.
Types of ISA
When investing in an ISA with Royal Bank Invest, our experts do the day-to-day investing for you. You simply choose which of our five funds works best for you - depending on how much risk you want to take - and we’ll do the rest.
Aside from stocks and shares ISAs, there is the option to hold a cash ISA, which is a simple savings account that allows for instant access to your funds. Interest rates on cash savings can be low and thus a stocks and shares ISA offers potential for higher return over the long term.
At the same time, investing comes with additional risks - there’s always the chance your investments will lose value and you could get back less than you initially put in. To make the most of investing, it is important to have a long-term view of your portfolio.
You can use your ISA allowance in full or split it between different ISA types.
You will have access to your money any time. Withdraw or add more funds, and view your Invest balance in the Royal Bank app.
You’ll need to be a Royal Bank customer with Digital Banking, aged 18 - 84 and a UK resident for tax purposes. Tax reliefs referred to are those applied under current legislation, which may change. The availability and value of any tax relief will depend on your individual circumstances.
Get Started with Royal Bank invest
Royal Bank Invest offers you a quick and simple way to help you make your money work harder and go further. Whatever plans you have for the future - whether you’re an experienced investor or taking your first steps, we’ve made it easy to get started.
Click “Invest in ISA” to log into the invest portal.
Benefits for having an ISA
If you have longer term savings goals, ISAs can help you save and invest in a tax-efficient way. Stocks and shares ISAs are supposed to be a medium to long-term investment. This means they should be held for at least five years.
Some ISAs give you instant access to your money, offering you a more flexible way to save and plan your finances in the shorter term.
There are also Fixed Term ISAs designed to give you 1 or 2 years Fixed Interest.
Your ISA allowance applies to you as an individual. Being married or in living with your partner, for example, won’t affect your allowance.
You can learn more about ISA and types we offer here