3 ISA strategies to consider
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An ISA can be a useful platform when it comes to trying to build long-term wealth. That is why I use a Stocks and Shares ISA.
Here are three strategies I think investors should consider when it comes to allocating such an ISA.
The income-focused approach
One is to invest most or all of the ISA in shares on the basis of their dividend income.
That can be done in a couple of ways. For example, a £20k ISA invested at an average 6% yield could hopefully provide £1,200 in passive income annually from the first year onwards. Another approach would be to reinvest those dividends, something known as compounding.
Compounding can be a powerful way to build wealth. For example, if that 6%…
