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How to invest tax free

A look at how to use ISAs to your advantage

By Robin Keyte   February 2014

An effective way to make tax efficient savings and investments is with individual savings accounts (ISAs). Cash ISAs are savings products available on the high street in which you can invest up to £5,760 this tax year, and which are currently offering a taxfree interest yield of around 1.75 per cent.

Cash ISAs are easy and have various advantages, but the problem is that the returns they offer will often fall short of inflation, meaning that the real value of money invested in one of these ISAs will decline in value. Money needs to be tied up for five years to…

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