s&s isa thats none american

kev1744

hi all
normally i would be a cash isa person, but with the new rulings regarding isa's i was thinking "ok time to look at putting my savings into a s&s isa"...but whilst the (Removed by Forum Team) is in charge i really dont want to invest in american companies, so is there such a thing as a s&s isa that only invests in british/european companies? 

EthicsGradient

If you choose an S&S ISA platform that allows you to choose which investments are in it (rather than a "robo-platform"), then it's easy to choose only British, European or other parts of the world. You could, for instance, choose a FTSE 100 tracker, or a European fund, or a Far East fund, or Emerging Markets, or ...

wmb194

kev1744 said:

hi all
normally i would be a cash isa person, but with the new rulings regarding isa's i was thinking "ok time to look at putting my savings into a s&s isa"...but whilst the orange narcissist is in charge i really dont want to invest in american companies, so is there such a thing as a s&s isa that only invests in british/european companies? 

A S&S Isa is just a tax wrapper, you choose what investments to place in it. So, yes, there are lots of funds, investment trusts and company shares you can place in an Isa that relate to just European companies.

saajan_12

Just use a platform wiht 100s of index funds to self-select rather than one where you pick from 3 options. I'd then look at an all-world index, its often composed of multiple smaller funds in different regions and sectors. So you could self-select a similar composition excluding the US funds. 

eskbanker

kev1744 said:

normally i would be a cash isa person, but with the new rulings regarding isa's i was thinking "ok time to look at putting my savings into a s&s isa"...

Investing is a completely different activity from saving, so don't feel that it's an obvious alternative simply because of some tweaking to taxation.

aroominyork

If you are looking for a developed world fund that excludes the US, look at XMWX.

Albermarle

eskbanker said:

kev1744 said:

normally i would be a cash isa person, but with the new rulings regarding isa's i was thinking "ok time to look at putting my savings into a s&s isa"...

Investing is a completely different activity from saving, so don't feel that it's an obvious alternative simply because of some tweaking to taxation.

As above .
Fine if some recent publicity/ changes has made you think about investing rather than saving, but the decision should be for the right reasons still. 

Main point is that investing is for the long term, as this means you should be able to ride out the inevitable ups and downs in the short term . So for 5 years minimum, ideally 10 years plus. So not for money you might need back in a hurry. 

Avoiding the US completely is probably not wise. What you often find is that global/political shenanigans,  are not that directly  reflected in financial markets.

There are differing opinions on what % US to hold, but the argument is usually between 100% and 40%, not zero. 

jifmoose

I suspect you're not alone in this regard. But as well as what others have mentioned, there are a couple of things to bear in mind:

• The cash ISA changes won't come in until 2027. What that means is you have another year with the "full" 20K limit. If cash/interest savings are your preference, you might be better off maximising them this year in the anticipation.
• If we're talking equities, when you buy a share of a company (in the US or anywhere else), the company does not directly benefit. You're simply buying off a willing seller of that share, who could be anywhere and is likely entirely unconnected with the company - just as likely outside the US. The effect on the company is something of a wash: on the one hand more buyers mean they could issue more stock, on the other it makes buybacks more expensive. For ETFs/funds it's even more disconnected...

We have had some interesting discussions recently about global proportions in equities. The UK average in the data there, wisely or not, was only 34% in the US.

jimjames

aroominyork said:

If you are looking for a developed world fund that excludes the US, look at XMWX.

If the OP is asking the question about American ISAs I suspect that fund codes aren't going to make much sense. I'm a very seasoned investor and I have no idea what XMWX is!

DiamondLil

jimjames said:

aroominyork said:

If you are looking for a developed world fund that excludes the US, look at XMWX.

If the OP is asking the question about American ISAs I suspect that fund codes aren't going to make much sense. I'm a very seasoned investor and I have no idea what XMWX is!

https://www.hl.co.uk/shares/shares-search-results/x/xtrackers-msci-world-ex-usa-ucits-etf-1c

aroominyork

jimjames said:

aroominyork said:

If you are looking for a developed world fund that excludes the US, look at XMWX.

If the OP is asking the question about American ISAs I suspect that fund codes aren't going to make much sense. I'm a very seasoned investor and I have no idea what XMWX is!

You're a seasoned investor and do not recognise an ETF ticker and know how to look it up? Curious.

https://www.hl.co.uk/shares/shares-search-results/x/xtrackers-msci-world-ex-usa-ucits-etf-1c  Interesting that Japan comprises c.20% of the fund but has none of the top ten holdings. I thought Germany was the country of the Mittelstand!