As the country gears up to carry out two million vaccinations a week, you could be forgiven for thinking that investing in healthcare might be a smart move right now.
But while it s true that the extraordinary scientific advances of the last year have rightly made superstars out of women and men in white coats – the likes of Oxford University s Sarah Gilbert and BioNTech founders Ugur Sahin and Ozlem Tureci – it hasn t necessarily given a shot in the arm to those who have bought into big pharmaceutical businesses.
The sector was a standout performer in the first half of 2020, but it underperformed in the second, particularly in the UK.
How I’d invest £500 per month in a Stocks and Shares ISA starting in 2021 Image source: Getty Images
If I was starting investing in 2021, the first thing I’d do is open a Stocks and Shares ISA. Money held inside an ISA attracts no income or capital gains tax. Furthermore, investing in stocks and shares can produce higher returns in the long run than saving in a Cash ISA.
Compared to when I was starting out, share-dealing costs are cheap these days. Thanks to the rise of online brokers offering Stocks and Shares ISAs, investing relatively small sums is cost effective. So, how would I invest £500 per month in 2021?