ISA investors could have made over £160k in 20 years

An investor that used all of their ISA allowance to invest in the UK stock market through a tracker over the past 20 years could have earned £163,349 after charges, according to Willis Owen.

The research from the online investment provider found that, if an investor had saved their full tax-free allowance of £206,560, on the first day of each tax year, in a UK tracker such as the Scottish Widows UK All Share Tracker, then they would have accumulated a “nest egg” of £368,909.

Furthermore, Willis Owen revealed that the best-performing ISA fund over the last two decades has been the Marlborough Special Situations Fund, which has delivered a tax-free return of 2,488 per cent.

Commenting, Willis Owen head of personal investing Adrian Lowcock: “The success of the ISA has been due to a combination of factors. It has been a fairly simple product to understand, it appeals to both savers and investors alike and it is very flexible, giving people access to their money whenever they need.”

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