With the end of the tax year fast approaching, time is running out to use your £20,000 Stocks & Shares ISA allowance — and many investors are still looking for last-minute ideas.
The good news? You don’t need to pick individual stocks to build a low-cost, diversified portfolio.
Exchange-traded funds (ETFs) offer a simple way to invest across global markets, all within a tax-efficient ISA.
A Stocks & Shares ISA lets you invest free from UK capital gains and dividend tax, making it one of the most powerful tools for long-term investing.
Here are 3 last-minute ETF ideas to help you build a long-term Stocks and Shares ISA portfolio.
3 ETF ideas for a Stocks and Shares ISA before the tax year end
1. Vanguard FTSE All-World (VWRP): a core global equity ETF
For lots of investors, the first building block of their portfolio is usually something like a global ‘all-in-one’ equity ETF that tracks global equities.
By spreading your money across thousands of companies around the world, ETFs like the Vanguard FTSE All-World (VWRP) can be a sensible starting point.
This ETF has over 3500 global stocks across most regions of the world and with over £25bn of assets, it’s a popular fund for those looking for a low-cost global exposure.
The attraction here is simplicity, diversification, and cost. At 0.19% total expense ratio a year and reinvesting its dividends at a fund level, VWRP could be an option to consider for the heart of an ISA portfolio.
2. JP Morgan Global Equity Premium Income (JEGP): an income-focused equity ETF
If the idea with your ISA is to generate a growing income stream, then adding a dividend-oriented equity ETF could be the way forward.
ETFs like the JP Morgan Global Equity Premium Income (JEGP) are a good example of some of the funds that are out there.
This ETF provides exposure to global stocks while generating additional income with a focus on companies that have the potential to offer stable dividends. It’s actively managed and aims to build on JP Morgan’s strong track record in rules-based investing, which has been developed over many years.
With over £1bn in assets and costing 0.35% to own per year, this can be an interesting way to gain exposure to dividend-paying global stocks.
3. Vanguard Global Aggregate Bond ETF (VAGS): a global bond stabiliser
History shows us that over many years stocks tend to outperform bonds. But that doesn’t mean investors should ignore bonds.
Bonds can help smooth out the ups and downs of stock markets and suit investors with a lower appetite for risk.
A global bond ETF, hedged back to pound sterling, aims to offer bond diversification, without exposing investors to currency swings.
The Vanguard Global Aggregate Bond ETF (VAGS) is one example. This ETF holds thousands of government and corporate bonds from around the world, without subjecting investors to foreign currency risk.
With over 12,000 underlying bonds, investment-grade credit quality, and costing 0.08% a year, this ETF can help investors hedge against stock market volatility, while still being able to earn interest over time.
ISA deadline 2026: there’s still time to use your £20,000 allowance
As the tax year end approaches, you have the opportunity to make the most of your ISA allowance before it resets.
You can invest up to £20,000 each tax year, but if you don’t use it by 5 April, you lose it — and you can’t carry it forward.
If you haven’t used yours yet, it’s worth exploring a Stocks and Shares ISA on InvestEngine — a simple, low-cost way to get your money invested and make the most of your tax-free allowance.
Get up to £5,000 when you transfer
It’s easy to transfer your existing ISA to InvestEngine for fee-free investing. You could also get up to £5,000 when you do switch. ETF costs apply. The bonus is tiered and requires your investment to remain invested for at least 12 months.
Find out moreCapital at risk. Ts&Cs apply
Before transferring, please review any fees, exit costs and whether your existing investments would need to be sold and reinvested into ETFs.
Important information
Capital at risk. The value of your investments may go down as well as up, and you may get back less than you invest. Past performance is not indicative of future performance.
ETF costs apply. Remember, ISA and tax rules can change and any benefits depend on individual circumstances. If in doubt, you may wish to consult a professional adviser for guidance.