An ISA shelters your clients investments from personal income tax and capital gains tax.

Please note that any losses made in an ISA cannot be used to offset gains elsewhere. Your client can subscribe to an ISA if they are:

• Aged 16 or over
• Resident and ordinarily resident in the UK for tax purposes.

The M&G ISA is a stocks and shares ISA only. The entire range of M&G OEICs is available in the M&G ISA. Due to our focus on long-term investing, the M&G ISA is not a Flexible ISA, Innovative Finance ISA or a Lifetime ISA.

For 6 April 2022 to 5 April 2023 tax year the maximum your clients can invest in their ISA is £20,000.

The tax rules for ISAs may change in the future, and their tax advantages depend on your individual circumstances.

Share classes available

The following share classes are currently available for investment in the majority of our funds within The M&G ISA. This allows your client to choose the share class that best suits their investment needs.

• Sterling Class A Shares: Carry no entry charge and no exit charge.
• Sterling Class R Shares: Carry no entry charge and no exit charge. Please note commission is not payable on this Share Class.
• Sterling Class R-H, A-H and S-H Shares: Carry no entry charge and no exit charge. We have launched hedged Sterling share classes for our UK investors for those funds whose base currency is not Sterling. For information about hedged share classes and the base currency of M&G funds, please refer to the relevant KIID and Prospectus, or contact our Customer Relations team.
• Sterling Class I Shares are for fund holdings over £500,000.

Available share types

Most funds offer the choice of two share types - income or accumulation.

Income shares entitle the holder to be paid the income attributed to those shares on the payment date. This is usually paid twice a year but can be paid annually, quarterly or monthly depending on the fund.

Accumulation shares don’t pay income. Instead, they automatically reinvest any income accruing to the fund and this is reflected in the share price. If a fund only offers Income shares, any net income can be reinvested to buy more shares.

If holders currently reinvest their income to purchase further shares of the same fund, they can continue to do so.

Investment limits

The table below shows the minimum investment limits within The M&G ISA. The maximum your client can invest between 6 April 2022 and 5 April 2023 is £20,000. Please note that at present, M&G offers the stocks and shares ISA only.

ISA application forms