FSA launches Isa web-watch

By JEFF PRESTRIDGE, MONEY EDITOR AT LARGE
Updated:

 

A DATABASE that gives investors key details of unit trust-based Isas has been launched by the Financial Services Authority. Sir Howard Davies, chairman of the City watchdog, says the internet-based comparative tables allow Isa buyers to compare costs.

They show how individual Isas can be bought - direct, through advisers or from financial agents. The tables also highlight whether Isas carry a CAT-mark, which means they have competitive charges, are free of onerous terms or conditions and allow easy access to savings.

The tables cover only Isas that are linked to UK growth investment funds. They have no information on past performance. In coming weeks, the FSA will add comparative-tables for pensions, endowments and investment bonds.

After tapping in the amount they intend to spend and their planned investment term, buyers are given a list of Isa providers. They can sort individual plans according to lowest charges, whether the funds track the UK stock market and whether they are actively managed.

A £50 a month investment over 10 years shows that Abbey National's tracker fund is the cheapest for overall charges. The cheapest active Isa is Fidelity Moneybuilder. Davies says: 'Financial Mail's recent reader survey into with-profits policies demonstrated that people value clear information. The comparative tables aim to deliver such information as part of our drive to put customers in control.'

• www.fsa.gov.uk/tables

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