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13 January 2003

SIT spreads risk across the globe

The Scottish Investment Trust is offering Isa savers a portfolio of global equities with a competitive charging structure.

Unlike some investment trust Isas, there is no initial charge on the Sit Isa and the annual charge is 0.6 per cent, capped at £30 + VAT, no matter how much the investment grows or how many years' Isa allowances are invested.

The fund manager claimed investors often ignored the effect high management charges can have on the eventual returns and chose their Isa using performance as a key benchmark.

The Sit Isa includes a diversified portfolio of international equities. International weightings for the fund are: UK, 46.4 per cent, the US, Canada and Latin America, 24.2 per cent - continental Europe, 9.6 per cent; Pacific region ex-Japan, 4.6 per cent; Japan, 3.1 per cent and net current assets 12.1 per cent.

Other key features of the Isa are a free Isa transfer facility, an easy application process and planning flexibility.

Sherry Ann Sweeting, marketing manager at SIT Savings said: "All stock market investments have some element of risk, but Sit, as a global growth fund, seeks to minimise this risk by spreading investment."

Marlene Shalton, director at IFA Chambers Morgan James, said: "If you are brave enough to invest in international equities then it is a good one to go for because of the competitive charging structure."

Holly Thomas
© Investment Adviser