ISA investors remain bullish in face of market turmoil

Alliance Trust Savings, a leading UK financial services provider, has published the results of its quarterly ‘Alliance Trust ISA Ranking' for the first quarter of the 2008/09 tax year. The Alliance Trust ISA Ranking lists the most popular investment trusts that private investors have chosen for their ISA through Alliance Trust Savings, which excludes investments in Alliance Trust PLC due to its disproportionate amount of holdings.

Alliance Trust's analysis shows that despite some significant economic uncertainty investors remained confident in Q1 2008/09, investing more in their stocks and shares ISAs this period than for the same period last year. The latest ranking shows investors' top two choices are still RIT Capital Partners and Scottish Mortgage Investment Trust, which hold first and second spot respectively. The biggest mover in the first quarter was Murray International Trust PLC which moved up eight places to sixth spot, while Lowland Investment Company dropped 10 places, making it the biggest faller for the quarter. Two trusts from the UK High Income sector - Shires Income and City Merchants High Yield Trust - joined the Top 20 in 12th and 13th position as investors were attracted by the yields on offer.

Malcolm Dodds, Business Development Manager at Alliance Trust Savings, said, "Our ISA investors have kicked off the new ISA year with a confidence that appears to buck the industry trends following the recent market turmoil. Investors have remained bullish and rather than holding back they have actually subscribed more to their ISAs in Q1 2008/09 than they did in the same period last year. Investment trusts continue to be a popular choice for customers within their ISA accounts as well as our SIPP and Investment Dealing Accounts."

There are six new entrants among this quarter's rankings which were not in the Top 20 ranking in January to March. These are City Merchants High Yield Trust PLC, Murray Income Trust, Personal Assets Trust, Aberforth Smaller Companies PLC, Henderson FE INC and Shires Income PLC, which was the highest ranked new entrant at 12th spot. British Empire Securities & General Trust remained a popular choice even though it fell one place to fourth.

Customers in the Alliance Trust Select ISA can pick from more than 1,500 investment choices including hundreds of investment trusts, as well as equities, gilts and other fixed income investments.

For more information, visit alliancetrust.co.uk