NEW Data Reveals How 4000 ISA Millionaires Invest Their Money

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Ай бұрын

NEW Data Reveals How 4000 ISA Millionaires Invest Their Money
According to the most recent data published by HMRC, there are now over 4000 ISA Millionaires in the UK, with average holdings of over 1.39 million pounds.
The 50 top ISA investors are sitting on average pots of £8.5m, and the top 25 ISAs in the country are worth £11.6m each on average.
But, how have these people done it? What have they invested in, and are there any tips and tricks that we can apply to replicate their success?
Luckily, brokers like Hargreaves Lansdown, AJ Bell and Interactive Investor have published their own ISA millionaire reports, which include tips for investors, investment strategies, as well as what these millionaires have actually invested in to become millionaires.
Disclaimer: This video does not constitute financial advice. Please seek help from a registered financial professional before making any financial decision you are unsure of. Capital at risk.

Пікірлер: 30

@Abdul_Rahman86 Ай бұрын

What an awesome video. Personally I believe that if they’re ISA millionaire, they’re millionaires not due their ISA investment but they’re merely allocating some wealth into their ISA

@hookedonfinance Ай бұрын

There are certainly a few of them who have been doing exactly that…

@steve6375 Ай бұрын

The most anyone could have saved into an ISA, or its predecessor personal equity plan (PEP), is £310,760, according to RBC Brewin Dolphin.

@shaypatino2268 29 күн бұрын

Amazing Vid Bro!!! New follower here 👏

@Abdul_Rahman86 Ай бұрын

I can imagine SIPPs making millionaires. You receive 25% for every transaction you make. I put £500 per month. That £125 per month just on government top up. That’s £1500 per year That’s £15k in 10 years That’s £30k in 20 years just from government top ups.

@sanjayraja7639 Ай бұрын

Great video with good insights. Thanks 🙏👍

@winthir Ай бұрын

really interesting - thank you!

@NS-pt9rr Ай бұрын

Thanks for a great vid. The moral behind this vid is start investing for yourselves or children, G/kids as early as possible for a prosperous future 😊

@Nova2Yung Ай бұрын

Thank you for this information its motivation

@MickyOTW Ай бұрын

Another great video - thank you

@twinkletale5548 Ай бұрын

Interesting video. I would hope my more selective approach would get me there sooner. The common mistake about that 8% annual rule is that the market is calculated on the Year Beginning/End, so being 10% down but 20% up by the end shows half the story and it is also based on never taking advantage of dips, just buying at any price to average out. If you can spot an overvalued/undervalued company, then you cna effectively do better than 8% regardless of Country

@lizziebett3654 Күн бұрын

How does HMRC know about the totals of our isas😮 They should know when we open an isa but why should they have access to our investment balances 😮

@philipgreenwood3251 Ай бұрын

Just a bit shocked that these investors took so long to reach 1 million fund value. But seeing as they're on platforms with high fees, AND sticking money in funds instead of individual stocks AND investing in UK blue chips...no thanks. I used to be buy and hold but it's not optimal. I do trade more often and haven't been burnt due to the platforms I use. I've moved into swing trading and typically buy the dip, sell the bloat, mixing fundamental analysis with technical analysis. I used to hate technical analysis with a passion, but it does highlight decent entry and exit, and much better risk management. So if anyone wants to boost their ISA above a million, and not wait forever, question what, why and when you trade. Even the highest quality companies take a big sucker punch so do your analysis and scoop up the bargains

@sinematographers3344 Ай бұрын

Agree.

@rob_h_7 Ай бұрын

Similar to my takeaway from this vid - how much more could they have made with better choices of stocks/ETFs

@philipgreenwood3251 Ай бұрын

@rob_h_7 These millionaire investors have an average age of 72-75. So it's possible that they were investing long before ISAs existed, and old school investing via a broker using a phone. Broker fees back then were more expensive so to manage risk and fees, a fund would tick the boxes. And buying massive blue chip companies that provide a regular dividend satisfies risk and income. Fast forward to now, and you can have zero trading fees, multiple sources of free stock information, and pay silly low FX fees too => this sets the scene for stock picking. The video is useful for what has happened in the past, but I think the next generation is more info savvy and less likely to pour their money into mutual funds paying excessive fees for a fund manager. Yeah useful-ish

@metro1361 Ай бұрын

Hi HoF, Please can you do video on best strategy for using a General Shares Account. Thanks

@hookedonfinance Ай бұрын

Good idea, will add it to my list.

@user-wn8li1fr3s Ай бұрын

VUSA, VWRL, VHYL and QYLD. Perfect balance between growth and dividends in the long run.

@Duncan94 Ай бұрын

Given the average age of most ISA millionaires, I'm not surprised they have such a UK bias.

@hookedonfinance Ай бұрын

Exactly! That’s why I say that we shouldn’t necessarily copy what they do. There are many factors to take into account, age being one of them! I wish there was some data on how younger ISA holders invest their ££. FreeTrade used to have an annual report showing this but it’s pretty vague…

@NS-pt9rr Ай бұрын

Absolutely agree, I would have thought a fair chunk would be invested in the S&P500.. would be interesting to see the value if the same money was invested in S&P500

@Kaizen917 Ай бұрын

Hints a bit like there might be survivor bias at play that could fool some people into thinking individual stocks are better - these ISA millionaires have likely done better than the market over all those years(i.e. if they just held the FTSE100) but its likely many others havent (which doesnt mean they necessarily lost money but we simply wont hear of them). I wonder where a person would stand if they just help,say, SP500 with their allowance for the same period.

@hookedonfinance Ай бұрын

That’s a really good point. I do believe that the UK home bias and their age plays a huge factor here too tbh. Surely that youngest millionaire who is only 36 doesn’t have more than 10%-20% in the UK market (or maybe nothing at all..).

@lizziebett3654 Ай бұрын

It is concerning that HMRC are interested in the data on ISA millionaires🤔

@SycAamore Ай бұрын

These are not sophisticated investors! They could have made much much more money if they knew what they were doing. First, invest heavily in the US...that's where the big returns are. UK assets have a max of 10% weighing in my portfolio. Second, watch out for those fees, they can destroy your wealth! For example, the Fundsmith Equity fund is charging almost 1% fee, while an ETF would charge something like 0.1%. These fees may not seem significant, but it's well know that a 1% fee difference can wipe out almost 10 years of additional income when accumulated in a period of 20 years or so...And I can bet that Fundsmith hasn't beaten the market for that same period...