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    Ready-made Investments

    With interest rates remaining at all time lows, you might be looking at investing for the potential to achieve a bigger return from your savings.

    The new tax year is here

    The new tax year has arrived and you’ll have a new £20,000 ISA allowance to make the most of.

    An ISA protects all holdings from UK tax, including potential future profit from Capital Gains Tax and dividend payments from Income Tax.

    Tax treatment depends on the individual circumstances of each client and may be subject to change in the future.

    How does it work?

    • Ready-made investments are an easier investment option.
    • Help your money grow in our Investment Account or for a tax efficient option, our Investment ISA.
    • Simply apply online, choose your fundsFunds are managed by professionals and pool investors' money together and invest on their behalf. Since your investment can be spread over a range of different stock markets, sectors and investment types, the risk involved may be reduced. and let the experts take care of the rest.

    Investing vs Saving

    • Cash savings grow steadily but slowly and can be accessed easily.
    • Your savings may be impacted if the rate of return is lower than inflationInflation causes a rise in costs for goods and a drop in your purchasing power over a period of time. e.g. a pint of milk in 1990 was 25p whereas today a pint of milk will cost you 43p..
    • Investing can offer greater returns, but this is not guaranteed and your investments can fall as well as rise.

    Why try it?

    • Easy - Complete your application online in a matter of minutes then simply leave the rest to our investment experts.
    • Flexible - Start investing from £100 per month or a lump sum of £2,000.
    • Low Cost - Our ready-made funds offer some of the lowest charges in the market.

    Although there is no tie in period, our investments are designed for the medium to long-term so you should plan to hold them for at least five years. Please remember that the value of all investments can fall as well as rise, and you may get back less than you invest. If you’re not sure about investing, seek independent advice.

    Your Money, Protected

    Our Ready-made investments are protected up to a total of £85,000 by the Financial Services Compensation Scheme. This limit applies to the total of any investments held across Halifax Share Dealing Limited.

    This is in addition to protection from any other current or savings accounts held with the group.

    Investment funds explained

    1. What are investment funds?

    Professional fund managers combine investors’ money and invest in a wide variety of assets, so you could benefit from:

    • Spending less time and effort because investment experts do the work on your behalf.
    • The risk you accept being spread out without needing to buy a host of different assets yourself.

    2. What is an asset?

    Funds are invested in 'assets'. There are four types of asset in our ready-made investments:

    • Shares - Own a small part of a company (such as Lloyds Banking Group).
    • Property - Invest in houses, business premises or in a fund containing these properties.
    • Bonds and Gilts - A loan made by investors to governments and companies paying out a fixed return.
    • Cash - Investors’ money can also be stored as cash too as a way to lower risk.

    3. What’s the risk?

    Think about the amount of risk you are comfortable taking.

    • Low - Bonds and gilts will be the main type of asset held in the fund so risk and potential growth will be lower.
    • Medium - A more balanced investment between lower risk assets (e.g. bonds) and higher risk assets (e.g. shares) to offer steady potential growth and risk.
    • High - The majority of investment will be in shares. Funds with higher risk offer potentially higher returns. Be aware the value of your investment can fall as well as rise..

    Our ready-made investments

    Managed Growth Fund 2

    Fund manager approach: Cautious growth

    Risk level: Lower

    Asset breakdown:

    Low risk donut graph


      Shares - 25%

      Bond & Gilts - 60.5%

      Property - 8.5%

      Other - 6%


    Charges:

    For every £1,000 invested in this fund you would pay £6.10 in charges


    Key documents:

    Managed Growth Fund 2 KIID (PDF, 108KB)
    Factsheet (PDF, 138KB)

    Managed Growth Fund 4

    Fund manager approach: Balanced growth

    Risk level: Medium

    Asset breakdown:
     



      Shares - 49%

      Bond & Gilts - 36.5%

      Property - 8.5%

      Other - 6%


    Charges:

    For every £1,000 invested in this fund you would pay £6.10 in charges


    Key documents:

    Managed Growth Fund 4 KIID (PDF, 107KB)
    Factsheet (PDF, 138KB)

    Managed Growth Fund 6

    Fund manager approach: Dynamic growth

    Risk level: Higher

    Asset breakdown:

    Higher risk donut graph


      Shares - 75%

      Bond & Gilts - 15%

      Property - 5%

      Other - 5%

     

    Charges:

    For every £1,000 invested in this fund you would pay £6.20 in charges


    Key documents:

    Managed Growth Fund 6 KIID (PDF, 107KB)
    Factsheet (PDF, 138KB)

    If you want more information about the three funds, read Our Fund Range and InvestmentsPDF opens in a new tab. (PDF). This document contains details of how the funds are managed, their objectives and risks, and a detailed breakdown of the charges.

    Our fund performance

    Our funds were re-launched in September 2019 so there’s no performance data available before 2020. These figures refer to the past and past performance is not a reliable indicator of future results.

    Date

    Managed Growth Fund 2

    Managed Growth Fund 4

    Managed Growth Fund 6

    Date

    1 Jan - 31 Dec 2020

    Managed Growth Fund 2

    4.0%

    Managed Growth Fund 4

    2.3%

    Managed Growth Fund 6

    1.9%

    Date

    1 Jan - 31 Dec 2019

    Managed Growth Fund 2

    N/A

    Managed Growth Fund 4

    N/A

    Managed Growth Fund 6

    N/A

    Date

    1 Jan - 31 Dec 2018

    Managed Growth Fund 2

    N/A

    Managed Growth Fund 4

    N/A

    Managed Growth Fund 6

    N/A

    Date

    1 Jan - 31 Dec 2017

    Managed Growth Fund 2

    N/A

    Managed Growth Fund 4

    N/A

    Managed Growth Fund 6

    N/A

    Date

    1 Jan - 31 Dec 2016

    Managed Growth Fund 2

    N/A

    Managed Growth Fund 4

    N/A

    Managed Growth Fund 6

    N/A

    Source: FE fundinfo
     

    Low-cost charges

    We calculate our charges based on the value of your total investment and they are paid every year. They vary depending on the fund but the maximum values are:

    • a service fee of 0.24%
    • a maximum Ongoing Charge of 0.28%
    • and transaction costs which vary depending on the fund but are not greater than 0.12%.

    For example, if you invested in Managed Growth Fund 6 you would pay £6.20 in charges for every £1,000 invested.

    Important legal information

    The Lloyds Bank Direct Investments Service is operated by Halifax Share Dealing Limited. Registered Office: Trinity Road, Halifax, West Yorkshire, HX1 2RG. Registered in England and Wales no. 3195646. Halifax Share Dealing Limited is authorised and regulated by the Financial Conduct Authority under registration number 183332. A Member of the London Stock Exchange and an HM Revenue & Customs Approved ISA Manager.

    Important share dealing information