BMO Stocks and Shares ISA

What is a Stocks and Shares ISA?

A Stocks and Shares ISA allows you to invest up to £20,000 in the 2021/22 tax year. This tax-efficient investment plan lets you tap into the potential of the stock market and the skills of our fund managers to potentially help your investments grow over the long-term.

An Individual Savings Account, or ISA, is an account that acts as a wrapper to hold a range of different investments. The right ISA for you depends on your goals and your attitude towards risk.

Why choose a BMO Stocks and Shares ISA?

Here are some more reasons to choose BMO for a Stocks and Shares ISA. Select the links below to find out about them.

Benefit from our expertise

Our experienced fund managers make informed investment decisions for you. We invest in a range of equities, bonds, property and private equity and have been helping customers since 1817.

Investment trust options

Whether you’re looking for growth or income, join over 100,000 UK Investors and create an investment portfolio that meets your needs with our 10 Investment Trusts.

Tax-efficient investment

When you invest with a stocks and shares ISA you don’t pay any additional income tax or capital gains tax on any investment profits you may make.

Responsible Investment

For over 35 years, we have led the way in responsible investment. We’ve engaged with over 5,500 companies to ensure that generating returns for our investors does not come at the expense of the real world in which we all live.

Let's talk about risk

There’s an element of risk involved with a stocks and shares investment ISA. The value of your investments can go down as well as up and you may get back less than you originally put in. You need to be aged 18 or over and be a UK resident, and you should consider this as a longer-term investment. Tax allowances and the benefits of tax-efficient accounts are subject to change and tax treatment depends upon your individual circumstances.

BMO Asset Management Limited is authorised and regulated by the Financial Conduct Authority and assets are protected by the  Financial Services Compensation Scheme.

Stocks and Shares ISA compared to cash ISA

While a savings account or cash ISA can offer easy access and security of guaranteed capital, returns can be modest. Investing with a Stocks and Shares ISA provides:

  • Opportunity for stronger returns over the long-term, but you should be prepared to take on a higher level or risk.
  • Returns based on individual stocks or index.
  • Fund management – an ISA plan manager will handle this.

Invest in a BMO ISA through our 10 investment trusts

Choose a BMO Stocks and Shares ISA to invest in our diverse range of Investment Trusts. Your money is pooled together along with other investors’ money in one big pot known as a fund. A fund manager then buys shares or assets with the money. Our 10 investment trusts provide a wealth of investment opportunities, including equities, bonds, property, and private equity.

Each trust has unique goals and strategies. Choose a trust focused on capital growth, or aim for income, or one that covers both. Some invest in regional companies, while others take a global approach, and invest in companies all over the world.

Please see the Key Information Documents (KIDs) for further details on the risks for each trust. View the latest performance of our Investment Trusts.

What will it cost me?

  • Annual charge – £60 + VAT
  • Dealing charge – 0.2% on sales and purchases
  • Government stamp duty of 0.5% applies on purchases of UK shares only

Make sure you read the pre-sales costs disclosure before you invest.

How can I open a BMO Stocks & Shares ISA?

Investing in a BMO Stocks and Shares ISA is straightforward. Open an account using either our investors portal or by downloading an application form and sending it into us, choose the investment trust(s) that best suits your investment needs and finally, decide how much to invest. 

Before investing, please make sure you read the Key Features and Terms & Conditions, the relevant Key Information Document and Pre-Sales Disclosure documents.

How can I transfer my ISA to BMO?

Switching your ISA to us is easy, all you need to do is complete a transfer form and we will take care of the rest. The process can take between four and six weeks.

If you’re looking to transfer money you’ve invested in an ISA during the current year, you must transfer all of it. For investments you’ve made in previous years, you can transfer some or all your savings.

It’s important that you do this because, if you make a withdrawal from your ISA without following this procedure, you will not be allowed to reinvest that amount of your tax-free allowance again.

Our Stocks & Shares ISA video

What is a stocks and shares ISA?
Individual Savings Accounts (ISAs) are a highly effective and popular route into tax-efficient investing. Whether your objective is growth or income, a stocks and shares ISA allows access to a number of Investment Trusts and can be tailored to meet your needs.

Frequently asked questions

Tax-efficient investments – with an ISA you don’t pay additional tax on income or capital gains meaning you could make the most of the money you save.

Long-term potential of stock market investing – capture the potential of the stock market for long-term capital growth.

Access all 10 of our investment trusts – our investment trusts invest in a range of asset types in the UK and globally. These include equities, bonds, property and private equity. These investment trusts all benefit from the skills and expertise of our team of fund managers.

Tailor to your circumstances – our investment trusts have different strategies and aims meaning you can create an investment portfolio to meet your requirements. If your circumstances and needs change over time you can switch between trusts as and when you need to, subject to applicable charges.

Flexible investment options – low minimum initial investment. Choose from just £50 per month or £500 lump sum.

Opening an ISA with BMO is straightforward and can be done in minutes. You can apply online or complete an application form.

  • Choose your investment trusts – decide which of our investment trusts you’d like to invest into.
  • Decide on how much you want to invest – you can invest monthly, in lump sums or a combination of both.
  • Make sure you’re happy to go ahead – read the Key Features and Terms & Conditions for our products – make sure that you understand them including any charges that apply to the products and are happy to go ahead.

The ISA allowance for the 2021/22 tax-year is £20,000 per UK adult. 

You can have more than one ISA account allowing you flexibility. For example, you could invest your full £20,000 allowance in a Stocks and Shares ISA or you could split the allowance between a Stocks and Shares ISA and a Cash ISA. Please note even if you have more than one account your allowance is still £20,000 per tax-year (allowance correct for 2021/22 tax-year).

Over the years you may have built up a large portfolio of ISAs and a quick review may show they don’t meet your current investment needs;

  • Performance of your investment may not have delivered as you expected
  • You may be looking for a more income orientated investment
  • Your portfolio may be too focused on a single strategy and you’d like to diversify further

Consolidating your ISAs with a single provider can help you to reduce your overall cost for your ISA portfolio as well as make administration and monitoring much easier.

At BMO we only have a single charge no matter how many tax years’ ISAs you hold with us. To benefit from a single charge, all you need to do is top up your existing ISA account number in every new tax year. The transfer process is easy all you need to do is complete a transfer form and we will take care of the rest. The process can take between 4 and 6 weeks.

If you wish to transfer your ISA to another provider you should contact your new provider who will provide you with the relevant form to complete. They will then contact us to arrange the transfer. When we receive the transfer request we will collect our transfer charge along with any pro-rata management fees due and either transfer the shares or sell the shares and transfer the proceeds to your new ISA plan manager as instructed.

It is not possible to change the ownership of shares that are held within an ISA without losing your ISA status. If you would like to do this please phone us and we can discuss your options.

Payments are normally made from the ISA account holder. We can accept payments from third parties however we will require a letter, signed by them and sent along with the payment, that confirms that the money is being irrevocably gifted to the ISA account holder. We may also be required to verify the identity of the payer (for example, a certified copy of their current passport or driving licence for identity and a copy of a bank statement or utility bill as proof of address). If someone else is planning to make a payment into your ISA you may want to contact our Investor Services team (0345 600 3030) in advance of the payment being sent to check if anything further will be required.

Yes, you can do this by simply completing our General Investment Account (GIA) transfer of sale proceeds to ISA form. This will mean your shares will be sold and the proceeds used to buy shares within an ISA account in your name.

Got questions about the BMO ISA?

Frequently Asked Questions

Information in this section of the Website is directed solely at persons who are located in the UK and can be categorised as retail clients. Nothing on this website is, or is intended to be, an offer, advice, or an invitation, to buy or sell any investments. Please read our full terms and conditions and the relevant Key Information Documents (“KID”) before proceeding further with any investment product referred to on this website. This website is not suitable for everyone, and if you are at all unsure whether an investment product referenced on this website will meet your individual needs, please seek advice before proceeding further with such product.