ISA Millionaires

A_Flock_Of_Sheep

Apparently they exist. Drawing hefty tax free incomes and capital gains.

I recently read an article online about some that were willing to speak openly.

I am puzzled what investments they chose too....

Are you an ISA Millionaire?

blinko

it would have had to have been over several years and higher risk dual listed AIM shares

if we assume 10k per year allowance over 5 years and each year doubled
year end
1 20k (inc 10k capital injection at start of year)
2 60k (inc 10k capital injection at start of year)
3 140k (inc 10k capital injection at start of year)
4 300k (inc 10k capital injection at start of year)
5 620k (inc 10k capital injection at start of year)
6 1.240m (inc 10k capital injection at start of year)

evenasus

I've opened an ISA every year, since the days of TESSAs back in 1991.

However, I only have cash ISAs - so no, I'm not a millionaire.

lisyloo

I am puzzled what investments they chose too....

Ones that performed well obviously.
Have money double (100% gain) for 5/6 years on the trot is a amazing but I'm sure a few have done it.

We (couple) are in 6 figures not 7 but we have withdrawn at times for example when we moved house.

thelawnet

The number is tiny, and it's perfectly plausible given the total number of ISA holders, just as there are a few people who are 7' tall.

noh

ISAs have been available for 14 years since 1999.
PEPs were available between 1987 and 1999 and existing plans became ISAs in 1999.
Therefore some may have 26 years of contributions in their S+S ISA their contributions if maxed each year would be somewhere around £210000

planteria

agreed. i saw an article referring to ISA Millionaires that were actually PEP/TESSA/ISA millionaires. but still, fair play to them. the article i refer to included comments from some of them, and the one chap was investing directly in UK shares and was hardly selling....just buying, holding, and backing his winners.

"However, I only have cash ISAs - so no, I'm not a millionaire."

long-term, that is a mistake, i feel. i only use my ISA allowance for shares/equity funds nowadays.

lisyloo

long-term, that is a mistake, i feel

Probably but not everyone knows what to do S&S wise and unfortunately there are traps for the unwarey.
I knwo there are good advisors about but in general I don't think the industry does itself any favours.

talexuser

Not a millionaire but been maxing PEPs/TESSAs then ISAs since 1995, only missing a couple of years, and spending some on cash ISAs in more normal years past when it was a good diversification of emergency money. Now I wish I had put everything in funds every year, but am not complaining since it is still in accumulation so far, waiting for the day to switch to income, and done pretty well. Millionaire is quite possible if you started early enough with good long term outperforming funds compounded.

A_Flock_Of_Sheep

lisyloo wrote: »

Probably but not everyone knows what to do S&S wise and unfortunately there are traps for the unwarey.
I knwo there are good advisors about but in general I don't think the industry does itself any favours.

I feel you are right about the industry.

Radiantsoul

Sadly not.
As other have said I bet most have transferred money in from other types of tax free accounts that existed pre-ISA.
I suspect there are more pension millionaires!