ISA new fund options from LV=

LV= Asset Management (LVAM), the fund management arm of the LV= Group, has developed three new ISA fund options; LV=Diversified Income ISA, LV=Balanced Managed ISA and the LV=Stockmarket ISA.

The three ISA options offer an alternative for savings and have been designed to appeal to a range of investors, taking into account their individual needs and level of risk they are prepared to take with their investments.

The funds do not invest directly into stocks, shares and bonds rather they are multi-manager funds which give investors ready-made investment portfolios comprised of funds from investment managers such as Jupiter and Fidelity.

LVAM Head of Multi Manager said ‘Knowing that this tax year’s ISA allowance will be gone for good on April 6 puts pressure on investors. While it is impossible to say if markets have passed the rock bottom point yet, I am confident that we will look back on 2009 as a time of great opportunity for those willing to take a long-term view.’

He added ‘The approach that LV= takes in managing funds – staying properly diversified to spread risk, focusing on fundamentals, and taking a long-term view – is now more than ever the right thing to do, and is good advice for anyone thinking of investing now.’

Considering each of the ISA funds:

• LV=Diversified Income ISA fund – a lower risk fund which invests in a broad range of equity, fixed interest and alternative investment funds. It aims to provide an attractive level of income and the potential for capital growth over the long term.
• LV=Balanced Managed ISA fund – for those investors who are happy to take a higher level of risk than with the LV=Diversified Income ISA fund. The fund invests in equity and fixed interest funds and seeks to provide long term capital growth. This fund has been awarded ‘A’ Fund Management Rating by Standard and Poor’s (S&P).
• LV=Stockmarket ISA fund – designed for investors who are prepared to accept a higher level of risk, higher risk than that with the LV=Balanced Managed ISA fund and it invests in UK and global equity funds. It aims to generate long term capital growth and has also been awareded ‘A’ Fund Management Rating by S&P.

The minimum investment in these ISA funds is £100 monthly or a £1,000 lump sum.

The initial charge is usually 5 per cent, however, for investors buying online before the end of the tax year on 5 April 09, the initial charge will be reduced to just 2 per cent.