Investors are busy filling their Isas ahead of the end of the tax-year in less than a month and there are some surprising changes this year.
Once-fashionable tech stocks are out while safer assets and income-focused investments are in, in response to global uncertainty.
And on that note, some savvy investors are also looking to cash in on the geopolitical volatility in Europe.
If you’re looking to add to your Isa ahead of 5 April and are stuck for inspiration, these are the most popular stocks and funds among DIY investors.
Is the love affair with tech stocks over?
Unlike in previous years when investors seek out tech companies for their Isa, the love affair might be coming to an end.
US tech stocks have been a mainstay of growth-focused investors’ portfolios, but global economic uncertainty and wider concerns about the tech sector have triggered a sell-off.
For the first time in six months, Legal & General Global Technology Index Trust fell out of Fidelity’s top 10, plus a marked retreat from major tech stocks like Amazon, Nvidia and Meta.
Tech out: US tech giants’ popularity is waning in favour of income-focused stocks and funds
AJ Bell investors are slightly more bullish on tech stocks, with Nvidia the most popular stock across the platform, albeit the only Magnificent Seven company to appear.
Investors are also dipping their toes into the cryptocurrency hype despite volatility, with Microstrategy the second most popular stock for AJ Bell customers.
‘Donald Trump’s teasing and then confirmation of a strategic reserve of cryptocurrencies in the US got people fired up about bitcoin,’ says AJ Bell investment analyst Dan Coatsworth.
‘While investors cannot hold the crypto directly in an Isa, they can buy shares in MicroStrategy – now renamed as Strategy – and hold them in a tax wrapper.
‘Strategy has become a proxy for the bitcoin price due to its approximate $23billion investment in the assets, equal to more than a third of the company’s entire market value.’
Trading 212 customers are more confident in the outlook for US stocks, with all of the Magnificent Seven stocks – Nvidia, Apple, Microsoft, Tesla, Amazon, Alphabet and Meta – featuring in the top 10 most popular investments.
It also said it had seen an increase in investing since the US elections and the DeepSeek market selloff.
Investors flee to safety
As investors turn their backs on riskier assets, they are looking to safe-haven assets and more stable investments that generate an income.
‘The strong performance of income-focused funds and investment trusts such as Greencoat UK Wind, Personal Assets Trust and Schroder Oriental Income fund suggests that investors are seeking opportunities to generate stable returns,’ said Ed Monk, associate director at Fidelity International.
‘Meanwhile, cash-oriented funds like the Royal London Short Term Money market Fund have gained traction, serving as safe havens during uncertain times as investors adopt a ‘wait-and-see’ approach in the lead-up to the end of the tax year.’
Income is also the name of the game for AJ Bell investors opting for investment trusts, which have an average dividend yield of 6.7 per cent, nearly double the 3.4 per cent offered by the FTSE 100.
TwentyFour Select Monthly Income and JPMorgan Global Growth & Income are popular investments, generating a 8.5 and 3.9 per cent yield, respectively.
‘The minimal representation of growth-style investment trusts in the most popular list with AJ Bell DIY investors is a surprise,’ says Coatsworth.
‘It suggests a sense of caution among investors, perhaps influenced by growth-style stocks going off the boil in recent months. It is telling that the tech-heavy Nasdaq index in the US is down 5.3 per cent year-to-date whereas the ‘old economy’ FTSE 100 – dominated by financials, healthcare, oil producers and miners – is up 8.6 per cent, both on a total return basis.’
Scottish Mortgage, which has long been Isa investors’ trust of choice, is also absent from this year’s most popular trusts and also ranks the least popular based on net flows.
| Investment Trust | Yield |
| City of London Investment Trust | 4.7% |
| TwentyFour Select Monthly Income | 8.5% |
| JPMorgan Global Growth & Income | 3.9% |
| Law Debenture | 3.5% |
| 3i Group | 1.5% |
| The Renewables Infrastructure Group | 10% |
| Greencoat UK Wind | 9.1% |
| Henderson Far East Income | 11.3% |
| Abrdn European Logistics Income | 6.1% |
| Supermarket Income REIT | 8.8% |
| Source: AJ Bell. Yield details from AIC. Data 1 Jan to 28 Feb 2025. Based on net flows. |
Investors capitalise on geopolitical uncertainty
As investors react to economic uncertainty and move away from tech stocks, some are looking to bolster their portfolios with defence stocks.
As Europe shifts its priorities and bolstering its security in response to an apparent withdrawal of the US from Ukraine, Freetrade investors are piling into arms manufacturers BAE Systems and Rheinmetall.
Shares in BAE Systems are up 35.7 per cent year-to-date while Rheinmetall has soared 85.8 per cent.
‘Are these companies a new ‘Magnificent Seven’? Or is this just a flash in the pan?’ says Freetrade’s Alex Campbell.
‘European leaders appear to be revising budgets at lightning speed (for politicians), so the question for investors is how soon this new spending will start to hit companies’ bottom lines.
‘Meanwhile zen ETF investors may feel a bit more insulated from the hourly geo-political shifts in markets (just don’t check your account too often!).
‘While the thematic Future of Defence ETF makes an appearance in the top 10, a mix of traditional passive equity funds and low-risk cash-like substitutes points to more of the same as these investors weather the fortunes of global markets.’
Compare the best DIY investing platforms and stocks & shares Isas
Investing online is simple, cheap and can be done from your computer, tablet or phone at a time and place that suits you.
When it comes to choosing a DIY investing platform, stocks & shares Isa or a general investing account, the range of options might seem overwhelming.
Every provider has a slightly different offering, charging more or less for trading or holding shares and giving access to a different range of stocks, funds and investment trusts.
When weighing up the right one for you, it’s important to to look at the service that it offers, along with administration charges and dealing fees, plus any other extra costs.
To help you compare the best investment accounts, we’ve crunched the facts and pulled together a comprehensive guide to choosing the best and cheapest investing account for you.
We highlight the main players in the table below but would advise doing your own research and considering the points in our full guide linked here.
>> This is Money’s full guide to the best investing platforms and Isas
Platforms featured below are independently selected by This is Money’s specialist journalists. If you open an account using links which have an asterisk, This is Money will earn an affiliate commission. We do not allow this to affect our editorial independence.
| Admin charge | Charges notes | Fund dealing | Standard share, trust, ETF dealing | Regular investing | Dividend reinvestment | ||
|---|---|---|---|---|---|---|---|
| AJ Bell* | 0.25% | Max £3.50 per month for shares, trusts, ETFs. | £1.50 | £5 | £1.50 | £1.50 per deal | More details |
| Bestinvest* | 0.40% (0.2% for ready made portfolios) | Account fee cut to 0.2% for ready made investments | Free | £4.95 | Free for funds | Free for income funds | More details |
| Charles Stanley Direct* | 0.35% | No platform fee on shares if a trade in that month and annual max of £240 | Free | £11.50 | n/a | n/a | More details |
| Etoro* No investment funds or Sipp | Free | Stocks, investment trusts and ETFs. | Not available | Free | n/a | n/a | More details |
| Fidelity* | 0.35% on funds | £7.50 per month up to £25,000 or 0.35% with regular savings plan. | Free | £7.50 | Free funds £1.50 shares, trusts ETFs | £1.50 | More details |
| Freetrade* No investment funds | Basic account free, Standard with Isa £5.99, Plus £11.99 | Stocks, investment trusts and ETFs. | No funds | Free | n/a | n/a | More details |
| Hargreaves Lansdown* | 0.45% | Capped at £45 for shares, trusts, ETFs | Free | £11.95 | Free | Free | More details |
| Interactive Investor* | £4.99 per month under £50k, £11.99 above, £10 extra for Sipp | Free trade worth £3.99 per month (does not apply to £4.99 plan) | £3.99 | £3.99 | Free | £0.99 | More details |
| iWeb | Free | £5 | £5 | n/a | 2%, max £5 | More details | |
| Trading 212* | Free | Stocks, investment trusts and ETFs. | Not available | Free | n/a | Free | More details |
| Vanguard Only Vanguard’s own products | 0.15% | Only Vanguard funds | Free | Free only Vanguard ETFs | Free | n/a | More details |
| (Source: ThisisMoney.co.uk Jan 2025. Admin % charge may be levied monthly or quarterly | |||||||
Some links in this article may be affiliate links. If you click on them we may earn a small commission. That helps us fund This Is Money, and keep it free to use. We do not write articles to promote products. We do not allow any commercial relationship to affect our editorial independence.
