10 hottest ISA shares, funds and trusts: week ended 6 June 2025

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.

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Top 10 shares in ISAs

Six new entrants in this week’s list of most-bought stocks in ISAs on the ii platform mean BP (LSE:BP.) drops out of the top 10 for the first time since March.

At number one this week, knocking Rolls-Royce Holdings (LSE:RR.) off top spot, is BAE Systems (LSE:BA.) after gaining five places following government announcements about a planned increase in Britain’s military spending. NATO countries including the UK, are likely to target a 3.5% increase, rising to 5% if you include "defence-related expenditure" like infrastructure and other things.

Head of NATO Mark Rutte wants all member countries to sign up to the plan at a meeting in The Hague, Netherlands, on 24–26 June 2025. Prime Minister Keir Starmer has already committed to expanding the UK’s fleet of nuclear submarines, which was the catalyst for Babcock International Group (LSE:BAB)making its first appearance in this top 10 list after a 13% share price rally.

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ITM Power (LSE:ITM) has had a 16-month wait to make this list for only the second time, and it’s straight in at number three. Shares in the green hydrogen firm added as much as 67% during the week, hitting their highest level since summer 2023, even though there was no official news from the company.

Toward the end of April, ITM upgraded revenue forecasts for 2025 by 30% to between £25.5 million and £26.5 million after fulfilling additional contractual obligations. At last week’s 94.8p peak, ITM shares had risen 276% since the early April low.

Wizz Air Holdings (LSE:WIZZ)debuts here as investors picked up stock cheapened by 25% after the airline missed annual sales and profit forecasts. It also offered only limited guidance for the year ahead. Analysts at Morgan Stanley cut their profit forecasts for 2026-28 by 8-19% “as an ever more challenging cost outlook dwarfs a more encouraging summer pricing environment.” The price target drops to 1,120p.

B&M European Value Retail SA (LSE:BME) has only appeared here once before, back in January.This time, investors bought the shares at prices not seen in a couple of months following the discount retailer’s cautious outlook alongside annual results. Investors are keen to hear what incoming CEO Tjeerd Jegen has planned, perhaps as early as a first-quarter trading update scheduled for July.

Taylor Wimpey (LSE:TW.) and the rest of the UK housebuilding sector were innocent bystanders last week, caught up in a sector sell-off following a warning from MJ Gleeson (LSE:GLE). The builder said several headwinds, including higher build costs, flat selling prices and the continued use of incentives, were offsetting any recovery in the housing market.

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Over in the States, Tesla Inc (NASDAQ:TSLA) was the focus for many investors following Elon Musk’s spectacular bust-up with US President Donald Trump. The former pals came to blows as Musk’s role cutting government spending came to an end, with the world’s richest man publicly criticising the president's "Big Beautiful” tax and spending bill.

Teslashares fell almost 15% last week, touching their lowest price in a month, down from $367 at the end of May to $273 at one stage. Despite the spat with Trump, analysts at Morgan Stanley still back Tesla shares up to $410. It said: “We believe the challenges facing Tesla's current business are widely reported and well known, while the opportunities in the future business are potentially greatly underestimated.”

Top 10 funds and trusts in ISAs

Income funds rose up the ranks last week, as Greencoat UK Wind (LSE:UKW) entered the list in second place, City of London Ord (LSE:CTY) rose two places to third and SDCL Efficiency Income Trust plc. (LSE:SEIT) entered in fifth.  

Greencoat yields 8.5% by investing in wind power assets around the UK, making money by selling power to the grid. However, shares have been under pressure, falling 14% in the past year. This means that while the yield is attractive, the total return for investors has been disappointing. 

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City of London yields 4.2% from investing in UK dividend-paying stocks. It has been managed by Job Curtis since 1991 and is a member of interactive investor’s Super 60 list.  

SDCL yields around 10%. It owns assets that improve energy efficiency, such as energy storage, biomass and electric vehicle charging.  

The other risers last week were JPMorgan Global Growth & Income Ord (LSE:JGGI) and L&G Global Technology Index I Acc (B0CNH16).  

For yet another week, Royal London Short Term Money Mkt Y Acc (B8XYYQ8) funds was the most popular fund. It aims to generate a “cash-like" return of just above the Bank of England interest rate, which is currently 4.25%.    

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The fallers were Vanguard LifeStrategy 80% Equity A Acc (B4PQW15), Scottish Mortgage Ord (LSE:SMT), HSBC FTSE All-World Index C Acc (BMJJJF9) and Vanguard LifeStrategy 100% Equity A Acc (B41XG30). Meanwhile, Alliance Witan Ord (LSE:ALW), Artemis Global Income I Acc (B5ZX1M7) and Vanguard FTSE Glb All Cp Idx £ Acc (BD3RZ58) dropped off the list.  

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