S&S ISA vs. General investment account

fryderykchopin

I'm looking at opening a Stocks and Shares ISA account to start operating with funds. I'm considering the most popular providers (Vanguard, Fidelity, AJ Bell, iWeb, etc.).

Most of them have a broad ranges of funds in the search tool they have in their websites, however I have heard that when you open a S&S ISA account the range of funds available is limited and not all the funds available with a GIA are also availble to S&S ISAs.

Is this true? How significant is the difference? Anyone with both account types in the same provider could shed some light please?

Another_Saver

Technically yes, but in the world of mainstream retail investing platforms and funds, the answer is that essentially everything you can hold outside an ISA can also be held within an ISA.

NottinghamKnight

I would have thought their offerings would be the same, if you are looking at specific funds you could contact the and ask the question. 

Linton

No, the range of funds available on most ISAs is the same as on a GIA through the same provider unless perhaps you are going for something esoteric which cannot be accessed from an ISA, mainly I believe foreign registered funds and ETFs that have not asked for/been granted authorisation to be sold to UK investors.

If you arent planning to take a large amount in dividends or make more than £12300 capital gain in a year the main reason for using an S&S ISA is that you dont have to keep detailed records for 7 years to cover the rather unlikely possibility that HMRC investigate your tax affairs.  There is no downside to using an ISA if you keep to mainstream investments.