A GUIDE TO SAVING AND INVESTING IN INDIVIDUAL SAVINGS ACCOUNTS (ISAs)

HOW DO ISAs WORK?

There are two types of *ISA* - *cash* and *stocks and shares*. Each has different limits. Within the stocks and shares component you can hold investments such as individual stocks and shares, investment products such as authorised *unit trusts*, *open-ended investment companies* (OEICs), *investment trusts* and life insurance products as well as gilts and corporate bonds. The cash component permits you to hold bank and building society *deposit accounts*, *National Savings and Investment products* and investment or insurance products which aim to produce a cash like *return* e.g. *money market funds*.