The end of the tax year is a great time to review your portfolio and make the most of your allowances. Adding new cash gives you the opportunity to shore up and rebalance, and make sure your portfolio stays in line with your goals.
ISAs and pensions are a powerful long-term tool, shielding investments from income tax and capital gains tax, which makes them well suited to building wealth over time.
A well-constructed ISA portfolio could combine global growth, resilience in tougher markets and exposure to areas that may be temporarily out of favour but have the potential to recover. Our ideas reflect the different roles you might need.
For your pension, time is one of the greatest advantages. Pensions are typically invested for decades, which means portfolios often have time to ride out shorter-term volatility in pursuit of long-term growth – remember you can’t take money out until you’re 55, or 57 from 2028. That said, other investors may be approaching retirement.
Income ideas can be great to look for a yield that grows over time alongside capital. They can also be used to diversify an investment portfolio focused on growth – our ideas here all have accumulation units available, where the income received isn’t paid to the investor, but is reinvested into the fund instead.
None are designed to be standalone solutions, but as part of a broader, diversified portfolio aligned to your objectives and attitude to risk. You could invest in one, two or all three.
This isn’t personal advice or a recommendation to invest and remember all investments and any income they produce can fall as well as rise in value – you could get back less than you invest. Past performance is not a guide to future returns. If you’re not sure an investment is right for you, please seek advice.
Remember it’s important to check in on your portfolio from time to time to make sure your investments are still in line with your goals. ISA and tax rules change and benefits depend on personal circumstances.
Please note our fund ideas for income take their charges from capital. This can increase the amount of income paid but reduces the potential for capital growth.
For more detail on each fund, its charges and specific risks, please see the links to their factsheets and key investor information below.
ISA fund picks
ISA fund picks
For more detail on each fund, its charges and specific risks, please see the links to their factsheets and key investor information below.
T. Rowe Global Value
Long-term growth potential from undervalued global companies
Blends ‘deep value’ stocks with higher-quality businesses that could provide balance
Could diversify portfolios heavily tilted towards US growth and big tech
Global equity funds form the backbone of many long-term portfolios. This makes sense as they provide access to companies across the world and help spread risk.
Within this space, until recently, value investing, which typically focuses on companies that appear undervalued relative to their long-term prospects, struggled to keep up with the growth style for several years. But styles move in cycles. After a long period where growth companies have led the way, value-focused businesses look relatively attractive. If markets shift towards a more fundamentals-driven environment, or if higher interest rates remain stubborn and weigh on highly valued shares, value investing could see a resurgence.
Adding a global fund to an ISA portfolio can provide a healthy dose of diversification or a core to which other funds can be added.
And adding a value-oriented fund could offer diversification to portfolios that have become heavily tilted towards growth or a small group of larger US companies. That’s not to say the US or big tech names won’t continue to do well, but if they don’t meet investor expectations from here, they could be prone to volatility.
In addition to ‘deep value’ companies, T. Rowe Price Global Value Equity’s managers invest in higher-quality businesses that they believe are temporarily undervalued. This broader and more flexible approach creates a more balanced fund. A large part of the fund still invests in the US, given the breadth of that market, but other developed countries are featured as well as up to 10% in higher-risk emerging markets. It also has the flexibility to invest in smaller companies, which can increase return potential but add risk.
Troy Trojan
Aims to grow investors’ money steadily while limiting losses in falling markets
Invests across a diversified mix of assets, including shares, bonds, gold and cash
Designed to provide moderate long-term growth and resilience during periods of market stress
In an environment where there are a lot of potential risks to consider, investing in something that actively tries to keep losses to a minimum can provide some ballast to an investment portfolio. It can also give the investor a little peace of mind. That said, even funds that aim to keep losses as small as possible can lose money and so investors might get back less than they invest.
Troy Trojan is a great example of this type of fund. It aims to grow investors' money steadily over the long run, while limiting losses when markets fall. It tries to experience fewer ups and downs than the broader global stock market or a portfolio that's mainly invested in shares. We like the simple philosophy behind this fund, with the potential for long-term growth and a focus on preserving wealth in weaker markets.
The fund is focused around four 'pillars', which helps to smooth out returns over time.
The first contains large, established companies that managers Sebastian Lyon and Charlotte Yonge think can grow over the long run and endure tough economic conditions. The second pillar is made from bonds, including US index-linked bonds, which could shelter investors if inflation rises, and traditional UK government bonds (gilts).
The third pillar consists of gold-related investments, including physical gold, which has often acted as a ‘safe haven’ during times of uncertainty. The final pillar is ‘cash’. This helps provide important shelter when markets stumble, but also a chance to invest in other assets quickly when opportunities arise.
The managers have the flexibility to invest in smaller companies, which can add risk. The trust is also concentrated, which means each investment can contribute significantly to overall returns, but it can increase risk.
Liontrust UK Growth
Invests in high-quality UK companies with durable competitive advantages
Focus on strong balance sheets and sustainable long-term profits
Offers contrarian exposure to an out-of-favour UK growth style
This fund could be one for the contrarians out there. UK shares, particularly those of small and medium-sized companies, have struggled to keep pace with global markets for several years. What’s more, quality growth companies faced a difficult period. But this could present an opportunity for contrarian investors.
Investment styles move in and out of favour, and quality growth has lagged value and cyclical areas of the market – banks and defence companies have had a noticeably strong year, while those usually favoured for their quality characteristics, such as consumer staples and utilities, have grown, but lagged. Yet companies with strong balance sheets, dependable cash flows and sustainable competitive advantages have tended to prove their mettle over the long run, especially when economic conditions are tougher.
While momentum may remain against this style in the short term, there’s potential for a turnaround as markets refocus on fundamentals or increased uncertainty leads to a focus on quality.
For those willing to be patient, exposure to high-quality UK businesses could offer both resilience and recovery potential in the years ahead.
The managers of Liontrust UK Growth think the secret to successful investing is to find the few companies with an 'economic advantage' – a sustainable edge over the competition that will allow them to earn above-average profits for the long term. The fund's focus on high quality companies means it's tended to lag the broader stock market when it's rising quickly but hold up better when markets fall.
The fund has the flexibility to invest in smaller companies and derivatives which if used, adds risk.
SIPP fund picks
SIPP fund picks
For more detail on each fund, its charges and specific risks, please see the links to their factsheets and key investor information below.
JPM Emerging Markets
Long-term growth potential for patient investors who can ride out volatility
Exposure to diversified emerging markets, including India, China and Taiwan
Fund manager Leon Eidelman has a wealth of experience and is supported by a well-resourced team
Emerging markets have been somewhat in the shadows in recent years, while the US has dominated global returns. But that hasn’t always been the case and at some point, particularly over a multi-decade horizon, some of tomorrow’s growth engines are likely to be based in the developing world.
Valuations in developing markets currently look appealing compared to their developed peers, and we think the long-term growth story remains intact. India, for example, has had a weaker year against some other markets following a period of strength, which could provide an opportunity especially as it’s still expected to become a dominant driver of global growth over time.
A key factor to watch in 2026 is the US dollar. A softer dollar typically reduces the cost of debt for these economies and can encourage investment flows. The opposite is also true.
Many emerging market consumers are becoming wealthier, driving demand for goods and services at home.
For investors looking to diversify and add long-term growth potential, emerging markets can play a valuable role within a balanced portfolio. This is still a higher-risk area though, with political and economic challenges to consider.
The JPMorgan Emerging Markets fund is managed by seasoned emerging markets investor Leon Eidelman, with the support of over 100 investment professionals across nine countries, giving them eyes in most corners of the market. Like many funds in the sector, it invests in some of the region’s largest countries including India and China, as well as smaller economies with unique opportunities, such as the Middle East, Turkey and Mexico.
Vanguard Global Small-Cap Index
Broad exposure to a range of small-sized companies all over the world
Low-cost, passive approach from Vanguard, a pioneer of passive investing
Long-term growth potential from an often overlooked part of the market
For truly long-term investors seeking to build wealth over decades, smaller companies can offer an important source of growth, albeit with higher volatility along the way.
The Vanguard Global Small Cap Index fund provides broad exposure to almost 4,000 companies across developed markets by tracking the MSCI World Small Cap Index. It invests in the companies in the index in the same proportions, aiming to track its performance closely.
In recent years, market leadership has been unusually narrow. A small group of US mega-cap technology companies have dominated returns, while many smaller businesses were left under-owned and overlooked. Higher interest rates and economic uncertainty also weighed more heavily on smaller firms. However, leadership rarely remains concentrated indefinitely.
Over the long term, smaller companies have delivered stronger returns, though the journey has come with more ups and downs than for larger firms and periods of underperformance should be expected for any investment. For pension investors with time on their side, the ability to ride out these phases can be a key advantage.
Valuations today present a more balanced picture. In some regions, the valuations of smaller companies are lower than their larger counterparts, despite resilient earnings growth. For investors willing to look beyond the dominant global giants, that gap in expectations may represent an opportunity, though there are no guarantees.
Vanguard is a pioneer of passive investing and manages some of the world’s largest index funds.
Its scale and experienced global team help it track indices efficiently while keeping costs low. As part of its process, the fund engages in securities lending to offset expenses, which can add risk.
Within a diversified portfolio, this fund could provide low-cost, broad exposure to a dynamic part of the market, complementing larger company investments and supporting long-term growth potential. That said, smaller companies are higher risk and can fall further during market stress.
As this fund is listed offshore, investors are not usually entitled to compensation from the UK Financial Services Compensation Scheme.
BNY Mellon Multi-Asset Balanced
Invests across shares, bonds and cash to balance growth with stability
Typically holds 70–80% in global company shares, with the remainder in more defensive investments
Designed to deliver steadier long-term returns with lower volatility than equity-only funds
The BNY Mellon Multi-Asset Balanced fund aims to deliver a balance of capital growth and income over at least five years by investing primarily in shares, but also by investing in bonds and cash to provide diversification and ballast when stock markets go through tougher times.
The fund is managed by Simon Nichols, who has over 25 years’ experience and has managed multi-asset funds since the mid-2000s. He works closely with co-managers Paul Flood and Bhavin Shah, and the mixed-asset team at Newton, part of BNY Mellon. While there are three co-managers, Nichols is the key decision-maker, determining asset allocation and stock selection.
Typically, 70–80% of the fund invests in shares, mainly large, established companies in developed markets such as the US, UK and Europe.
Nichols favours businesses with durable competitive advantages, strong cash generation and sensible balance sheets. Many pay dividends, which he sees as a sign of financial discipline, though the fund has no formal income target.
The remainder of the fund invests in developed market government bonds and cash, with flexibility to use other assets if appropriate. These more defensive investments are designed to cushion the fund during market downturns. While bonds and cash may act as a drag in strongly rising markets, they have historically helped reduce volatility and limit losses when they fall.
This balance can be valuable for building retirement savings. The fund may not capture the full upside of strongly rising stock markets, but it’s tended to experience lower volatility than funds focused only on shares over time. As part of a broader investment portfolio, the fund could provide diversification, exposure to global markets, and a smoother investment journey. As always though, there are no guarantees.
The fund can invest in higher yield bonds, emerging markets and use derivatives, all of which add risk. Please note that charges are taken from capital which can increase the income paid but reduce the potential for capital growth.
Income fund picks
Income fund picks
For more detail on each fund, its charges and specific risks, please see the links to their factsheets and key investor information below.
Artemis Income
Dividend income with potential for capital growth over the long term
The fund invests mostly in the UK stock market
We have a high level of conviction in all three experienced co-managers – Adrian Frost, Nick Shenton and Andrew Marsh
The UK stock market typically provides a higher level of dividend income compared to other regions around the world. This is largely due to its make-up, with many of the largest companies listed in the UK from more mature industries. These companies tend to focus less on rapid growth and more on cashflow generation that can be distributed to shareholders via dividends. This makes it a great place to invest for income.
The UK stock market performed well in 2025, outperforming the global stock market. The banking sector has seen particularly strong gains. With HSBC, Barclays, Lloyds and Natwest all in the top 15 biggest companies in the index, this helped to drive performance.
While there are no guarantees the UK will continue to outperform, many companies have seen improved profits.
So even if share price growth isn’t as strong, this should mean their ability to continue to pay dividends remains strong in the short to medium-term.
The managers of Artemis Income mainly invest in large UK companies, with some holdings in medium-sized and overseas companies when they find great opportunities. They look for companies they believe will deliver a resilient income, though there are no guarantees.
We view this as a more conventional UK equity income fund that could work well alongside other asset classes in an income focused portfolio. It could also complement a portfolio focused on growth, where investors who don’t need the income can benefit from the compounding effect of reinvesting it.
The fund has a yield of 3.24% as of 31 January 2026. Yields are variable and are not guaranteed.
Baillie Gifford Monthly Income
The fund focusses on providing a resilient level of income for today and into the future
It invests globally in shares, bonds and real assets
Each manager brings a different area of specialism to the fund
The world is a big place with an enormous amount of investment opportunities. When it comes to income, individual investments come with the risk that the expected income won’t be paid. There are plenty of unforeseen circumstances that can result in individual companies cutting their dividend or defaulting on their bond payments. When this happens, investors can be left with a lower level of income than they were expecting.
One way to reduce this risk is to diversify. The most common ways to do this are by region, sector and asset class. Investing across multiple countries reduces the potential impact of political or economic instability within a single country. When it comes to sectors, by diversifying, investors are reducing potential regulatory risk. For asset classes, different economic environments can impact performance.
Investing in a diversified way across all these areas has potential to reduce changes in overall income received over time – where one area might produce less income, another might offset that by producing more.
Baillie Gifford Monthly Income invests across three broad investment areas: shares, real assets (such as property) and bonds. It aims to increase the income paid to investors by more than the increase in the consumer prices index (CPI - a measure of inflation) over the long term. The fund focuses on providing a resilient income over time, which means while the income provided may not be the highest available, it can be expected to be more consistent.
The fund invests evenly between the three areas noted above, but the real assets section is largely made up of companies listed on the stock market, meaning that usually more than half of the fund is invested in shares.
There are four managers and each has a different area of expertise. This combination of knowledge and experience is important when managing a fund with such a large opportunity set.
We think the fund is a useful addition to a portfolio focused on providing an income and could also be used to provide diversification to an investment portfolio focused on growth.
The fund invests in emerging markets, high yield bonds and derivatives, all of which add risk.
The fund has a yield of 4.01% as of 31 January 2026. Yields are variable, are not guaranteed nor are they a reliable indicator of future income.
Ninety One Diversified Income
This fund is focused on investing for income, while trying to provide some shelter during market falls
It mainly invests in bonds with a smaller amount invested in shares
The managers are experienced income investors, in particular John Stopford who joined the industry in 1993
When it comes to income, bonds are an obvious choice. Most of the return comes directly from interest payments made by the bond issuer, which in turn provide a regular income to investors.
With the interest rate increases across the world in recent years, bonds are offering higher yields today than they were. This makes bond funds, or those that mainly invest in bonds, even more appealing to use within a portfolio focused on generating income.
The Ninety One Diversified Income fund aims to provide an income with potential for capital growth, while limiting the ups and downs to less than half of the UK stock market. The fund mainly invests in bonds from around the world, but also invests in some company shares too. The amount invested in shares varies over time, but the maximum is 35%.
The managers have increased the amount invested in developed market government bonds in recent years, due to higher yields being available. These make up a large portion of the fund.
They continue to like emerging market government bonds too, largely because of the extra income available compared to their developed market peers.
While these bonds tend to provide higher returns, they’re at greater risk of political or regulatory change.
Overall investors should expect the mix of investments in the fund to change over time dependent on market conditions and the opportunities available.
Given the focus on providing an income, the fund could be a good addition to an income generating portfolio. It could also provide some stability to an investment portfolio focused on growth, or a portfolio focused on company shares.
The fund invests in high yield bonds and derivatives, all of which add risk.
The fund has a yield of 5.01% as of 31 January 2026. Yields are variable and are not guaranteed.
