'Increased interest' in stocks and shares ISAs
Stocks and shares ISAs are interesting investors, it has been claimed.
A study of online searches shows that investors are turning their attention to stocks and shares ISAs.Falling interest rates appear to be behind the shifting sands in the world of ISAs, according to Fairinvestment.co.uk, while rates could fall even further when the monetary policy committee announces its base rate decision tomorrow (March 5th).
Interest rates currently stand at an all-time low of one per cent and back in December the website polled 2,000 investors about their finances - a survey that revealed 26 per cent of people keep their money in a cash ISA.
The poll also found that 2.5 per cent of people have stocks and shares ISAs.
However, with interest rates having fallen by a further one percentage point since the research, the average cash ISA rate stands at 1.38 per cent, according to the Bank of England.
Statistics gleaned from Fairinvestment.co.uk traffic show that during the first two weeks of February, interest in cash ISAs grew by 80 per cent, compared with the first two weeks of December 2008.
During same period, interest in stocks and shares ISAs climbed 116 per cent, thus outstripping interest growth in cash ISAs.
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