F&C waives initial ISA charge

F&C Asset Management plc is waiving the 50 + VAT initial charge on its Investment Trust ISA.

The offer runs from January 1 until May 31 2005, which means that investors can invest up to 14,000, making the most of the current tax breaks available for this tax year and next.

Georgette Harrison, director of marketing at F&C, says: “Despite several changes to the ISA regime, we believe ISAs continue to be a good option for investors who want to make the most of all tax breaks available to them, particularly higher-rate tax-payers who would otherwise pay income tax on dividends.

“Since the launch of ISAs, many investors have seen volatile markets. The signs are, however, looking more positive, with a 12% increase in the FTSE All Share over the past year. Investment trusts are a simple and low cost way to invest to maximize the potential growth of the world’s stockmarkets. We believe ISAs are an excellent spur to encourage people to dip their toes in the water once more.”

The value of investments can fall as well as rise and you may not get back the full amount invested.

Investors can choose to invest in up to any four of the ten F&C investment trusts in F&C’s investment trust maxi ISA, or in up to any three in F&C’s investment trust mini ISA, in each tax year.

F&C Asset Management plc is also offering investors the opportunity to transfer their PEP or ISA into one or more of its range of investment trusts, without paying the 25 + VAT transfer fee until May 31, 2004.

This is in addition to waiving the 50 initial charge meaning that you only pay 0.2% dealing commission on shares purchased.