Alternative Products Beginner's Guides

Innovative Finance Isas provide an easy route into peer-to-peer lending. But are they suitable for savers or perfect for punters?

We look at the nuts and bolts of ETFs, what they aim to achieve and how they have become more sophisticated and nuanced.

In these uncertain times, investing in physical gold can provide a safe haven for your money.

There’s no doubt that Isas and pensions are tax-efficient homes for your cash, but there are other investments that can keep the taxman at bay.

Step forward enterprise investment schemes (EISs). They have risen to prominence since the government increased the rate of income tax relief from 20 to 30 per cent, and the annual EIS investment limit for individuals from £500,000 to £1 million. This means investors can offset up to £300,000 of their income tax liability, provided they are due to pay that much in tax in the first place.

You can invest in commodities directly by holding the physical asset, or by buying shares in a commodities company.

Venture capital trusts (VCTs) are collective funds that take stakes in small companies that investors would generally regard as high-risk (with gross assets of no more than £15 million), and that have been hard pressed to access funding in the absence of bank lending over recent years.

VCT shareholders get a variety of generous tax breaks in return for committing their cash to those high-risk investments.

Structured products come in many sizes, usually with a preset return level. Sounds good - but read the small print first.

Investors are far more ethically aware than ever before, but they still need to know what to look for in their investment.