ETFs are the tool of choice for investors
Investors are capitalising on tax-efficient opportunities with half of investors holding exchange-traded funds (ETFs) within investment ISAs.
According to Barclays Stockbrokers, trading activity increased significantly in the fourth quarter of 2008, with October experiencing the highest volumes of trading for the whole year.
Figures suggest that trading in ETFs increased by 162 per cent from October to December 2008, compared with the third quarter.
In addition, the number of accounts holding ETFs increased by 23 per cent, assets held by investors increased by 31 per cent, and individual holdings were up by 20 per cent.
Barbara-Ann King, head of proposition at Barclays Stockbrokers, says, ‘As the end of this tax year looms, it is encouraging to see savvy investors combining simple and transparent investments like ETFs with the tax benefits of investing through their ISA.’

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| Fund | Offer | 1y | 3y | 5y |
|---|---|---|---|---|
| UBS Life Structured Credit A | 91.43 | 294.1 | n/a | n/a |
| Skandia Finland FIM Russia | 11.14 | 70.1 | -11.0 | 66.2 |
| Zurich American Property AL G4 | 43.20 | 67.9 | 22.9 | 28.7 |
| Skandia Finland Alfred Berg Ryssland | 0.87 | 63.2 | -21.3 | n/a |
| Skandia Finland JPM New European | 2.11 | 57.6 | -18.2 | 61.1 |
| Merch Inv Sanlam Global Financial S6 | 109.40 | 56.1 | n/a | n/a |
| Skandia Norway Alfred Berg Ryssland | 0.87 | 50.7 | n/a | n/a |
| AXA Jupiter Emerging European Opportunities | 221.10 | 50.7 | -10.3 | n/a |
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