Things to know before you apply
Important information
If you open your ISA online you will not receive any investment advice or personal recommendation from us. Please therefore make sure you have read the important information and key documents below before applying, to make sure the investment is right for you. If you are unsure, please seek the advice of a Specialist Financial Adviser from Wesleyan Financial Services.
Annual Management Charges
When you open your ISA, you’re agreeing to pay an Annual Management Charge (AMC) of 1.2%. This charge is collected from your ISA to cover our costs in managing your account and investments.
Please note if you are already opted in to Wesleyan Financial Services’ Ongoing Advice Service (OAS), the Annual Management Charge is 1.7%.
Smoothing and Market Value Reductions (MVR)
To try and deliver steady returns, the With Profits Fund applies a mechanism called smoothing. This means we may hold back some of your returns when market performance is strong, in order to reduce the impact of periods of poor market returns.
If you choose to withdraw money from your ISA at certain times (usually when share prices have fallen substantially), we may also apply an adjustment which reduces how much you get back from that withdrawal. This is called a Market Value Reduction.
A Market Value Reduction is not a charge applied for Wesleyan's benefit. It’s designed to protect those still invested in the fund from a high volume of withdrawals being made by other customers at unfairly high valuations.
Keep in mind that the value of your investment can go down as well as up, so you could get back less than you invested.
ISA and tax rules summary
You can hold multiple ISAs at the same time. In total, you can save up to £20,000 in ISAs in the 2024/25 tax year.
To apply for a With Profits Stocks and Shares ISA, you must be a UK resident for tax purposes, aged between 18 and 74.
You'll pay no personal income tax or capital gains tax on your investment returns from your ISA. This is based on current understanding of legislation and tax treatment, which can change in the future.
Key documents
Before you apply to open a With Profits Stocks and Shares ISA, please read the following documents: