Over 1.8 million savers and investors trust HL with their money, with many choosing to have multiple accounts in one place to make things easier – from the Stocks and Shares ISA and Self-Invested Personal Pension to the Junior ISA and Lifetime ISA, there’s a product for everyone.
But how are some of our clients using these products, and what motivates their investment choices?
We spoke to a few of our HL colleagues about their personal experiences to give you some insight.
Remember though, these aren’t investment ideas or personal recommendations and none of this is personal advice. Unlike cash, all investments can rise and fall in value, so you could get back less than you invest. If you’re not sure what’s right for you, ask for financial advice.
ISAs, pensions and tax rules can change and depend on individual circumstances. You usually can’t access a pension until 55 (rising to 57 in 2028).
These HL colleagues aren’t investment experts and don’t work in our professional research teams.
ISAs
Malcolm Peacock, Head of ISA and Fund & Share Accounts, Investment & Retirement
I was motivated to choose an ISA with HL based on a suggestion from my best mate prior to starting with the company. He was into investing before I was and pointed me to HL.
When I was younger, I was much more interested in investing in shares. However, as life has got busier, I shifted towards using funds and exchange traded funds (ETFs). Now, I mainly invest monthly through direct debit, which has simplified my investment strategy and made it more manageable.
Initially, the key benefits I experienced using HL’s platform were the investment research and the information on the factsheets. Over time, I’ve come to appreciate having all my savings and investments in one place, alongside my wife’s and daughter’s.
I love the app, and I make tons of use out of the linked account functions too.
One of my most significant success stories was using the HL Lifetime ISA (LISA) to help buy my first home.
When I was younger, I used to be focused on investing in stocks and trying to grow my money quickly but in a riskier way.
When my wife and I started looking for our first home during the pandemic, I changed my investment strategy. I ramped up my monthly investing and focused on saving for our home in earnest, alongside my LISA.
Thanks to a few years of saving and investing, we were able to buy our house, which has become our family home.
To anyone considering opening an ISA with HL I would say ‘start early and aim to get growth slowly!'
If you can put a small amount away every month and let it grow over time, you’ll be amazed at how far your investments can grow.
The best part of ISAs is anything you add within that year’s allowance (£20,000 this year) is free from capital gains tax. I was even able to use HL’s Share Exchange service to move some investments from my HL Fund and Share Account into my HL Stocks and Shares ISA. There are costs involved, but now they are in the ISA, I’ll be able to keep more of any profits as they hopefully grow over the coming years.
Lifetime ISA (LISA)
Charlie Hutchence, Creative Communications Manager, Content & Communications
I chose an HL LISA as the government bonus you get was just too good to ignore.
I knew I was going to want to buy my first home somewhere down the line and wanted to invest towards one. Getting £1 for every £4 you put in (up to £4,000 each tax year) really got my attention, and when I initially started it was quite a long way off, so I knew I wanted to invest as I had the time to handle the markets’ ups and downs.
I initially held a mixture of tracker funds, so that I was well diversified. I was happy to track the markets due to the low fees that these funds have. When I came closer to deciding to buy a flat, I sold everything and held it as cash as I didn’t want to have my money going up and down in the stock market anymore.
Using HL’s platform, I was able to see my LISA alongside my Self-Invested Personal Pension (SIPP), Stocks and Shares ISA and Cash ISA. I hold all of these with HL.
It was useful to be able to transfer cash from my Stocks and Shares ISA to my LISA when I was able to make use of the next year’s tax allowances. Also, the Cash ISA helped me get a better rate when I had a lot of cash sat around for my deposit and legal fees that weren’t held in the LISA.
My success story is, I bought a flat in January! I now have my first home, and after all the hassle of moving, am now getting to know all the great local pubs, shops, and breweries on my doorstep. I’m also not too far from the rugby team I support, so I can go to games more regularly.
With the LISA, you need to hold one open for 12 months before you can use it towards a qualifying home purchase. Also, there’s a withdrawal penalty if you aren’t withdrawing for a first home or after age 60, which can mean you get back less than you put in – so make sure it’s money you don’t mind tying up.
When it comes to buying a first home, factor in things like legal fees and things you might need to improve or buy for your first place, even stuff as basic as a fridge.
Junior ISA (JISA)
Laura Burridge, Client Initiatives and Trading Lead, Content & Communications
I chose an HL JISA to provide my daughter with something meaningful for when she turns 18.
With the rising cost of living, I want to give her a nice pot of money to support her needs at that time. Additionally, HL's no-account charges and no online share dealing charges for JISAs made it an obvious choice.
My investment strategy is straightforward, I buy and hold, with occasional check-ins. 18 years is a long time for investments to grow, and I'm happy to ride out the bumps. I also stay informed by following our research team's ideas and insights and then use this information to make decisions about where to invest .
One of the key benefits of using HL’s platform is the convenience of being able to see all my family’s accounts in one place on my phone. From my SIPP, ISA, Active Savings, and now my daughter's JISA, it makes it easy to manage everything and check in and out.
For anyone considering opening a JISA with HL, take a few minutes to set it up, establish a direct debit, and let it run – just make sure you check in on it occasionally to make sure you’re still happy with the investments.
It's easy to do and the benefit you'll feel for doing it and some peace of mind is great for so little effort.
Self-Invested Personal Pension (SIPP)
Tim Jacobs, Primary Markets Manager, Trading Operations
I chose the HL SIPP due to their ‘strong reputation, fantastic customer service, and extensive investment options’. These factors made HL an obvious choice for my retirement savings.
Since I won’t have access to my SIPP for another 22 years, I take a long-term approach by investing in a mix of high-risk UK growth stocks and professionally managed global equity funds. I actively monitor individual stocks, using HL’s alert service to stay informed about key company announcements.
While I rebalance my portfolio annually, I focus less on the funds, as they are managed by experienced stock pickers with a strong track record who do the hard work for me.
One of the key benefits of using HL’s platform is their extensive investment research, which provides clear and concise analysis from a team of experienced analysts. For the shares in my portfolio, I make use of the wealth of data available on the recently revamped factsheet pages. This allows me to monitor company announcements, financials, historical performance, and director deals before making investment decisions.
For anyone considering opening a SIPP with HL, educating yourself about the power of compounding is important.
Fund and Share Account
Liam Grogan, Insight Manager, Content & Communications
I chose an HL Fund and Share Account as I wanted to be able to invest without worrying about any specific investment restrictions, like you can have in an ISA.
While there aren’t the same tax perks like in an ISA, investing in stocks through a Fund and Share Account appealed to me as there is no charge to hold shares.
I chose HL for this as there is a huge range of investment options, including international shares such as those in the US and Europe.
In terms of investment strategy, I take a lot of time looking at our News and Insights section. I do look to get information from elsewhere too, but I find when I’m in the app it’s right there so it’s easy to look at.
From market news and analysis to expert insights, access it all on the go with our award-winning app.
My strategy is following sectors and themes I think are going to do well in the future, rather than specific companies. I also set myself a rule of only investing if I am willing to hold it for the long term. That might not always happen due to market movements, but it’s a good place to start.
Some benefits I’ve experienced using HL’s platform for my investments are the range of investment options, expert research, ability to manage all my accounts together in one place, and regular investing by direct debit meaning I’m always adding to my portfolio and helping it grow.
A top tip I have learned through investing is definitely about time in the market rather than timing the market. You can start slowly – just make sure you start.
Tax year ends 5 April – secure your allowances before they’re gone
Find out which investment and saving accounts could be right for you and take advantage of your tax-free allowances while you can. Plus make the most of our special offers. Terms apply.