Interactive Investor

10 hottest ISA shares, funds and trusts: week ended 29 March 2024

We reveal the 10 most-popular shares, funds and investment trusts added to ISAs on the interactive investor platform during the past week.

2nd April 2024 10:40

Lee Wild from interactive investor

With ISA season under way and tax year-end fast approaching, we look at the investments ii customers have been buying within their ISAs during the previous week. The data includes only real-time trades, not regular investing instructions, and combines the use of both existing funds and new money.

Top 10 shares in ISAs 

In a shortened trading week to account for Good Friday, four of the 10 in this table of most-bought stocks in ISA accounts on the ii platform held position. But there was movement elsewhere.

Dividend stocks BAE Systems (LSE:BA.), Legal & General Group (LSE:LGEN) and Lloyds Banking Group (LSE:LLOY), whose share prices are also enjoying some upward momentum currently, each made up two places.

Phoenix Group Holdings (LSE:PHNX), another popular income play, gave up some ground as excitement around recent results died down. Vodafone Group (LSE:VOD) lost six places, although there’s been heavy director share buying at the mobile phones giant and investors are hoping this is the start of a sustainable recovery following recent corporate activity. Last Thursday, the share price closed above 70p for the first time in a fortnight.

Asset manager M&G Ordinary Shares (LSE:MNG) is the only new entry, making its debut in this most-bought table, up from 13th place the week before.

It recently published annual results which beat City estimates, driven by higher-than-expected client fund inflows. Adjusted operating profit was up 28% at £797 million compared with the £760 million analysts had forecast.

Despite challenging macroeconomic conditions, the company delivered improved net client inflows of £1.1 billion versus just £0.2 billion in 2022. The company has also been cutting costs and its capital cushion or solvency II coverage ratio improved to 203% from 2022’s 199%.

Shareholders have done very well over the past seven months, the stock rising 30% from 183p last August to a high of 238p recently. The price dropped at the end of last week to reflect the ex-dividend date for its final payout of 13.2p. Shareholders will receive the money on 9 May. 

Investors have not only enjoyed a significant capital gain, but M&G has consistently been one of the FTSE 100’s most generous dividend stocks. The yield is currently 9%, which is why they were included in the 2024 edition of my annual portfolio of 10 stocks to generate a £10,000 annual income for the fourth year in a row.

Top 10 funds and trusts in ISAs

The only new entry for the most-bought fund and investment trusts inside ISAs last week was Vanguard LifeStrategy 60% Equity. As the name suggests it holds 60% in shares, with the remainder in bonds. 

In at 10th place, it rose 13 spots, leapfrogging Vanguard’s LifeStrategy 100% Equity version, which was in 12th place last week. It replaced Fidelity Index World, which was in 15th place last week, giving up its usual position in the top 10.  

Following the sharp rise in interest rates, there is now a market consensus that central banks could cut interest rates this year. This makes bonds more relevant for portfolios, as yields are higher (at about 4% for gilts), and there could also be some capital gains ahead. Some investors have been moving to take advantage via Vanguard LifeStrategy 60% Equity.

The most popular three collectives last week were unchanged: Scottish Mortgage Ord (LSE:SMT), Fundsmith Equity and Vanguard LifeStrategy 80% Equity. They also invest globally, as do the next three entries on the list: L&G Global Technology Index (up one place), Alliance Trust Ord (LSE:ATST) (down one) and JPMorgan Global Growth & Income (unchanged).  

Greencoat UK Wind (LSE:UKW), whose shares were up around 3% last week, also attracted investors. It was in seventh place, up two places. Vanguard US Equity Index also rose two place to eighth, while Jupiter India fell two to ninth.  

Funds and trusts section written by ii’s deputy collectives editor Sam Benstead.

These articles are provided for information purposes only.  Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties.  The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.

Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.

Please remember, investment value can go up or down and you could get back less than you invest. If you’re in any doubt about the suitability of a stocks & shares ISA, you should seek independent financial advice. The tax treatment of this product depends on your individual circumstances and may change in future. If you are uncertain about the tax treatment of the product you should contact HMRC or seek independent tax advice.