scottish widows stocks and shares isa

Enzo_L

https://forums.moneysavingexpert.com/discussion/6674091/scottish-widows-stocks-and-shares-isa

IWeb, which doesn't pay interest on cash held in stocks and shares ISAs, changed its name to Scottish Widows Share Dealing a few months ago, so unless your ISA's provider name has only recently changed to Scottish Widows Share Dealing, your nearly 30 years ISA old it is likely to be a Scottish Widows platform ISA, which pays 1.7% interest on uninvested cash in stocks and shares ISAs.

https://platform.scottishwidows.co.uk/support-hub/banking-and-interest-rates/

You need to check to be certain which type of "Scottish Widows ISA" you have.

The best way to avoid a charge of 22% on any interest on cash held in an ISA is to invest the cash you hold. For any future dividends you could consider contacting the account provider to arrange the automatic reinvestment of dividends.

DRS1

The fund seems to be a Scottish Widows fund. As @Enzo_L says maybe it isn't held on the ex Iweb platform.

But it is an Accumulation fund so it won't have been throwing off any cash dividends (they will all have been automatically reinvested in the fund). So that is why you don't see any cash element in your account.

Just so you know it is a tracker fund so SW is not doing any investing for you in the sense of actively managing your investments. It is purely passive - which in many people's eyes is an excellent thing.

dunstonh

Scottish Widows have two platforms. Along with several legacy products,such as the ex-bank sold products

markbsac

https://forums.moneysavingexpert.com/discussion/comment/82049839#Comment_82049839

it has performed really well over the years im really happy with it thats why i have kept it for so long

Ayr_Rage

https://forums.moneysavingexpert.com/discussion/comment/82049921#Comment_82049921

What is the percentage increase since you last funded it?

markbsac

no idea my last payment into it was in 2008

Ayr_Rage

https://forums.moneysavingexpert.com/discussion/comment/82050239#Comment_82050239

LOL, so how exactly have you ascertained that it has "performed really well over the years" ?

dunstonh

https://forums.moneysavingexpert.com/discussion/comment/82050239#Comment_82050239

In reality, the performance has been poor relative to global equities.

It's a fund that is designed to be held in a wider portfolio, not in isolation. You have the UK allocation of the portfolio, but you haven't got the US, Japan, Europe excluding UK, Asia, etc.

DRS1

Before we make the OP feel like he has missed a trick by investing in this fund let's not forget that there have been times when investing in the US has not been great and investing in Japan has been a lot worse. I am not even sure that putting the money into a global tracker would have been possible back in 1996 or even 2008 - I think VWRP only started in 2012.

And back in the day when passive investing was a new fangled thing lots of people would have tracking the FTSE 100 and answering any questions about UK bias by saying the FTSE 100 has companies who have a global reach.

I also suspect that the proper comparison for the OP would be against a cash ISA over the same period (not a global tracker) and I suspect on that score this ISA in this fund has performed well.

masonic

https://forums.moneysavingexpert.com/discussion/comment/82050558#Comment_82050558

Indeed, single country investing is not a great idea in general.

I can only speak for myself, but I was drip feeding small sums into a mix of HSBC American Index, HSBC FTSE All-share Index, and HSBC European Index back in 2005. Those funds have been around since the late 1980s. A few years later I added funds covering Asia and Emerging Markets (but steered clear of Japan until much later). The concept that global diversification was a good idea was something I become aware of before I had any money to invest.