However, that’s not the only smart move to make right now.

The right type of ISA

One sensible move to make at this time of year is to check that you’re still using the right type of ISA for your financial objectives. Personally, my favourite vehicle is the Stocks and Shares ISA. Because with this type of ISA, I can contribute up to £20,000 a year, invest in a broad range of growth assets, and access my capital at any time.

I also like the Lifetime ISA. This one may not be around for much longer but, for now, it offers bonuses of up to £1,000 for those who are eligible.

Of course, a Cash ISA can be useful too. However, personally, I prefer to keep cash savings in liquid, low-risk investments within my Stocks and Shares ISA.

The best account

Another astute move is to ensure you’re saving/investing with a top ISA provider as not all products are created equal. Here, it can pay to consider things like the scope of investment options, fees, customer service, and platform reliability.

Maximising allowances

Of course, making use of the annual allowance is crucial. Once it’s gone, it’s gone. Don’t stress if you can’t max out the allowance for 2025/2026 (not many people can consistently put £20,000 a year into an ISA). Even small contributions can pay off in the long run.

Checking your portfolio

Looking beyond contributions, now’s also a good time to check your investment portfolio. Think of this as a MOT for your finances. Does your asset allocation still align with your financial goals? Is your portfolio optimised for growth/income/capital preservation? Is it diversified enough?

These are some good questions to ask at the start of an ISA year.

Looking for investment opportunities

Finally, now’s a great time to scan the market for opportunities. Are there any stocks, funds, ETFs, or themes that could potentially enhance your returns in the years ahead?

One theme I like for the next few years is defence. This may not appeal to everyone however, the way I see it, it’s now a portfolio necessity. Today, defence companies aren’t just selling equipment – they’re providing the tools required for nations to protect themselves in an increasingly unpredictable world. And this is reflected in their revenues and earnings.

For investment exposure here, I’ve gone with the HANetf Future of Defence ETF (LSE: NATP). This product provides exposure to both traditional defence companies such as BAE Systems and Lockheed Martin and digital/cybersecurity players including Palantir and CrowdStrike.

Overall, there are about 60 stocks in the portfolio. Fees are 0.49% a year.

In terms of performance, it’s done really well of late, returning about 25% over the last year. Past performance isn’t an indicator of future returns, of course (the niche focus adds risk) however, with NATO countries in the process of raising their defence spending to 5% of GDP, I’m optimistic that performance in the long run will continue to be strong.

In my view, this ETF’s worth considering as part of a diversified portfolio.

The post 5 smart moves to make before the 2025/2026 ISA deadline appeared first on The Motley Fool UK.

So what should investors buy to protect their portfolios in these uncertain times? Here are three ETFs to consider.

Oil

The WisdomTree Brent Crude Oil (LSE:BRNG) is one to seriously think about right now. Tracking the price of futures contracts on the Brent oil benchmark, it’s soared 17% in value over the last week.

Energy prices are rocketing as oil supplies are blocked from travelling through the Strait of Hormuz. The International Energy Agency (IEA) has described it as the “largest supply disruption in the history of the global oil market“, and it could keep driving prices even if the agency releases millions more barrels from its stockpile.

Goldman Sachs thinks Brent could average $110 a barrel in March and April if Middle Eastern supplies are disrupted for a month. The benchmark was last sitting at $99.20.

Be mindful, though, that the ETF could fall if the war causes growth forecasts to be severely downgraded, casting concerns over energy demand.

Defence

The HANetf Future of Defence ETF (LSE:NATP) could also keep climbing if the war drags on. It’s already soared in value in recent years amid rapid NATO rearming following Russia’s invasion of Ukraine in 2022.

This fund invests in 59 different companies, including some of the world’s largest defence contractors including BAE Systems, Lockheed Martin, and Rheinmetall. But what sets this sector ETF apart from others is its inclusion of dozens of cybersecurity providers — the likes of Palo Alto and Crowdstrike make up 34% of the portfolio.

This could give Future of Defence an edge as cyberattacks become increasingly frequent. Poland announced earlier today that it had foiled an Iranian cyberattack in recent days. Be mindful, though, that the software element of the fund could cause it to underperform if worries over AI-related disruption resurface.

Utilities

Another solid ETF to consider as the war continues is the iShares Global Utilities ETF (NYSEMKT:JXI). Utilities companies provide services that people need regardless of whatever economic, geopolitical, or social crises are happening.

This particular fund holds shares in 67 different businesses from across the globe. These comprise gas, electricity, water, and multi-utility suppliers including National Grid, Constellation Energy, and Iberdrola. This mix means the fund’s not dependent upon one country or market to generate earnings.

Furthermore, most of the utilities the fund holds have long histories of paying consistent dividends. If stock markets flatline or fall if the war rolls on, these dividend payments could still help investors enjoy a positive return.

iShares Global Utilities isn’t completely without risk. If oil prices keep surging, interest rates may rise that depress these companies’ asset values. But on balance, I believe it’s a top fund to consider right now.

The post 3 ETFs to consider as the Middle East conflict escalates appeared first on The Motley Fool UK.

Take the iShares Digital Security ETF (LSE:LOCK), HANetf Future of Defence ETF (LSE:NATP), and iShares Core MSCI Europe ETF (LSE:SMEA) for instance. These fantastic funds have risen between 11% and 42% since 1 January.

I’m convinced they can keep surging, too, which is why I’ve bought them in my own portfolio. But what could drive them even higher? Let’s take a look.

Booming sector

The iShares Digital Security ETF’s leapt 11% in 2025 as the sector outlook has steadily improved. Major cyber attacks this year alone, like those that crippled production at Jaguar Land Rover and (more recently) stole sensitive Foreign Office data, underline the importance of having robust online security.

Threat levels are only going to increase, as state-backed hackers and AI-assisted attacks grow in number. Statista analysts expect average annual market growth of 5.9% between now and 2030. If true, funds like this should deliver strong long-term returns.

This iShares ETF right now holds shares in 110 different companies. I think this diversified approach is essential — it can still fall if major holdings experience systems failures (as we saw with Cloudflare in November). But the severity of any single setback like this is spread across the fund, limiting the risk of sharp price falls.

Doubled in price

The HANetf Future of Defence fund’s been one of the best-performing defence sector ETFs in recent times. Thanks to a brilliant 42% rise in 2025, total returns have leapt to 127% over a five-year horizon.

The fund — which holds 60 different global stocks — provides exposure to classic defence stocks like BAE Systems and Lockheed Martin. However, it also has significant holdings in cybersecurity stocks including Cisco and Palantir, reflecting the rising role of cyberspace in global warfare. I’m especially excited by this characteristic for the reasons described above.

This ETF could climb further as NATO nations hike defence spending amid growing geopolitical uncertainty. That’s despite the problem of rising government debts and their potential impact on arms budgets.

Euro star

The iShares Core MSCI Europe ETF is up 25% since 1 January, reflecting strong gains across UK and European stock markets. Demand for lower-priced continental companies has grown as investors seek out value opportunities.

Can the fund keep delivering enormous returns, though? I’m convinced it can, and not just because European shares continue to offer strong value after years of underperformance. Fears over an AI bubble continue to grow, which I feel could continue to drive market rotation out of US shares.

This fund holds shares in a wide range of companies (403 in all), which limits exposure to any one region or sector. Some of its major holdings include ASML, AstraZeneca, Deutsche Telekom, and Rolls-Royce.

Though it’s denominated in euros — which leaves me exposed to exchange rate volatility — I expect this fund to keep delivering impressive returns for my SIPP.

The post 3 incredible ETFs I can’t stop buying for my SIPP! appeared first on The Motley Fool UK.

Spreading one’s capital over dozens, hundreds, or even thousands of shares protects returns from company-specific blow ups. What’s more, growth stocks can be prone to significant price swings, which a fund can soften thanks to that broad diversification.

Finally, an ETF offers a far simpler and less time-consuming route to investing in growth shares. Holdings are determined either by tracking a pre-set index or by an expert fund manager, saving investors the trouble of choosing individual stocks.

With this in mind, here are two top funds to consider this November. I hold both in my own portfolio.

Lock it down

Tech shares like Nvidia, Amazon, and Microsoft are getting a lot of love on high hopes for the artificial intelligence (AI) sector. Nvidia has in recent days become the first $5trn stock in history. It took out the $4trn milestone as recently as July.

There is a danger, though, that the sky-high valuations of some AI players leave them vulnerable. Others say these companies’ enormous growth potential merits their premium ratings. Still, a potential correction is worth bearing in mind.

For my money, a tech-focused ETF focused on cybersecurity shares could be a better option to consider. The iShares Digital Security ETF (LSE:LOCK) is actually the most recent fund I’ve purchased for my Self-Invested Personal Pension (SIPP).

With a price-to-earnings (P/E) ratio of 30.3 times, its valuation is far more attractive than some AI-based funds. The iShares Future AI & Tech ETF by comparison carries a heavier earnings multiple of 43.6.

Don’t go thinking that this digital security fund has poorer growth potential than its AI cousin, however. Holding 110 tech shares like Ciena, CrowdStrike, and Cloudflare, it’s actually delivered a superior average annual return of 11.7% during the last five years.

Returns may be bumpier during economic downturns. After all, tech shares are extremely cyclical entities. But I think long-term returns will continue to impress as the digital revolution rolls on and on, bringing a steady rise in the number and severity of online threats.

Case for the defence

I’ve also added the HANetf Future of Defence (LSE:NATP) fund to my SIPP in recent months.

As its name suggests, it invests in companies that make weapons and offers other services to global armed forces. But it does so with a twist — it holds stakes in cybersecurity businesses as well, allowing it to also leverage the phenomena I’ve just described.

Since its inception in July 2023, the fund’s risen an impressive 145% in value. During what’s been a period of rapid rearmament in the West (and particularly Europe), this is perhaps no surprise. I’m expecting it to continue surging, too, as NATO nations hike their defence-spending-to-GBP targets to 5% by 2035.

In total, the HANetf product is well diversified across 60 different companies. These include heavyweight pure-play defence firms like BAE Systems, Rheinmetall, and Safran, alongside specialised tech shares including Palo Alto.

It’s an approach that helps spread (if not eliminate) sector-wide dangers like supply chain problems and rising costs.

The post Here are 2 growth-share-focused ETFs to consider in November… appeared first on The Motley Fool UK.

Gold fund

Gold’s multi-decade bull run is (in my opinion) showing room for further significant upside. A multitude of risks facing the US and the dollar — combined with broader factors like rising inflation and geopolitical stress — mean fresh records far above current levels now look highly likely.

Goldman Sachs thinks prices could reach $5,000 per ounce by the end of next year.

In this climate, buying the iShares Physical Gold (LSE:SGLN) demands serious consideration in my book. Backed by physical gold, this fund is the UK’s most liquid bullion ETF, meaning investors can buy in and sell up extremely easy and with low spreads.

It also has a rock-bottom total expense ratio of 0.12%, one of the lowest on the market.

Remember there’s no guarantee that gold prices will continue rising, however. A downturn would naturally have bad consequences for the fund.

Copper exposure

Copper is another popular commodity that’s worth looking at this October. Red metal futures have rocketed in recent weeks, after weather-related disruptions caused the closure of Grasberg, the world’s second-largest mine.

It’s the latest in a string of production-related hiccups from major producers. With supply problems growing and demand enjoying structural drivers like the growing green and digital economies, now could be the time to consider a copper-based ETF.

The Global X Copper Miners ETF (LSE:COPX) is one I like the look of.

There’s a big difference between investing in a metal producer fund like this versus a copper price tracker. With these, investors leave themselves exposed to potential production issues that can dampen performance.

Still, with holdings in 39 different copper miners (including heavyweights like Glencore and Antofagasta), this ETF spreads the risk quite effectively.

When copper prices rise, producer ETFs like this can outperform as their profits can rise more dramatically. Be mindful, though, that this leverage effect can act in reverse when red metal values drop.

Defence star

My final fund selection here is the HANetf Future of Defence (LSE:NATP) product. This is an ETF I hold in my own portfolio to capitalise on booming defence spending among NATO nations (and partner countries).

I plumped for this one because it gives me defence exposure but ‘with a twist.’ It holds shares in some of the world’s largest weapons builders like Rheinmetall, BAE Systems and Northrop Grumman. In total, its basket contains 60 different businesses.

However, it also has a high weighting of cybersecurity stocks like Palo Alto and CrowdStrike. This provides it with added long-term growth potential, in my view. As HANetf itself comments: “NATO’s inclusion of cyber and network security in new spending targets reflects the growing threat of geopolitically motivated attacks on critical infrastructure.“

Supply chain issues remain a problem across the defence industry. If this persists, it’s possible this fund could underperform expectations. But in the evolving geopolitical climate I’m optimistic it can deliver stunning returns.

The post 3 top ETFs to consider in October! appeared first on The Motley Fool UK.

Here are a trio of thematic ETFs that I reckon deserve closer attention from investors.

Robotics

The first big trend I want to highlight is robotics in the shape of the iShares Automation & Robotics ETF (LSE: RBTX). This one is pretty self-explanatory, as it focuses on companies associated with the development of automatic and robotic technology.

However, there are many different directions to go with this, including industrial automation, software, and even robot-assisted surgery. The ETF’s holdings reflect this diversity, with the likes of Nvidia (AI semiconductors), Rockwell Automation (factory automation), and Dassault Systemes (virtual twin software). 

The ETF’s share price has jumped 63% over the past five years.

One risk here is tariffs (yes, those still). Fact is, the market appears to think they’re in the rear-view mirror, but their impact probably hasn’t even started yet. A global economic downturn would likely reduce capital expenditure, including investments in automation.

The longer term looks brighter, though. Morgan Stanley Research estimates the humanoid robot market is likely to reach $5trn by 2050. “Adoption should be relatively slow until the mid-2030s, accelerating in the late 2030s and 2040s”, says analyst Adam Jonas.

Cybersecurity

Next, we have the iShares Digital Security ETF (LSE: LOCK). This one holds 111 firms that provide services designed to secure digital infrastructure. In simple terms, companies defending data, networks, and systems from cyber threats in our increasingly online world.

Top cybersecurity and security stocks here include Fortinet, Datadog, Palo Alto Networks, Cloudflare, and Okta. The share price is up 68% in the past five years.

Now, one thing to note here is that the fund is denominated in dollars (each share is currently just under $10). So one risk would be the pound strengthening significantly against the dollar, which would impact returns. 

Thematically though, it seems inevitable that cybersecurity spending will keep on rising. According to the Royal Institution of Chartered Surveyors, 73% of 8,000 UK business leaders expected their company to be hit with a cyber-attack in the next 12 to 24 months.

Nowadays, cybersecurity has become an absolute necessity rather than a luxury. And this bodes well for this ETF.

Defence

The final big trend is rising military spending by NATO members. Recently, they committed to spending 5% of GDP annually on defence over the next 10 years.

This brings me onto the HANetf Future of Defence ETF (LSE: NATP). It provides exposure to firms generating revenue from NATO defence and cyber defence spending.

Top holdings include AI software giant Palantir, Germany’s Rheinmetall, cybersecurity innovator CrowdStrike, and the UK’s BAE Systems.

Since launch in 2023, the ETF’s share price has rocketed 126%. This reflects the bullish sentiment around defence stocks.

That said, sentiment could quickly change if geopolitical tensions ease. Sadly though, we’re seeing more confrontation and less cooperation.

Meanwhile, there’s an unprecedented surge in cyberattacks, which will likely grow in sophistication and intensity in the age of AI.

Given this volatile backdrop, I think the Future of Defence ETF is set for further gains in the years ahead.

The post 3 excellent ETFs to consider for a Stocks and Shares ISA appeared first on The Motley Fool UK.

I’ve been loading my own Self-Invested Personal Pension (SIPP) with ETFs recently. The following three have allowed me to spread risk, and if their past performances turn out to be an accurate guide, they could give me an average 26.8% annual return over the next decade.

Low-cost US share exposure

The HSBC S&P 500 ETF (LSE:HSPX) is about as straightforward as these funds come. It tracks the performance of the US leading index of 500 shares, of which there are currently many on the market.

What attracted me to this one is that has one of the lowest ongoing charges out there, at 0.09%.

Why invest in the S&P 500 though? Well, it provides exposure to some of the largest and best companies on the planet, ones with strong records of innovation, deep pockets, and loyal customer bases across the globe. We’re talking about microchip manufacturer Nvidia, for example, which just made history as the world’s first $4trn company.

Since its launch in June 2022, this fund’s delivered an average annual return of 19.5%. Future returns could be compromised if the recent investor rotation away from US shares and into global equities continues. But I remain confident.

Riding the digital defence boom

The L&G Cyber Security ETF (LSE:ISPY) is a thematic fund rather than a bog-standard index tracker. Its goal is to harness the growth potential of tech shares “that generate a material proportion of their revenues from the cyber security industry“.

These range from hardware and software creators that protect files, websites, and networks from online attacks, to service providers that deliver consulting and other security-related services.

This fund has room for considerable growth as the digital revolution rolls on and the number of online threats increases. Allied Market Research thinks the world’s cybersecurity sector will expand at an annualised rate of 10.4% in the decade to 2033.

Returns may disappoint during economic downturns when tech firms tend to cut spending. But the long-term potential is considerable — it’s delivered an average annual return of 12.1% since its launch in September 2015.

48.7% returns

The HANetf Future of Defence (LSE:NATP) was launched in July 2023 to capitalise on booming demand for defence shares. So far it’s delivered beyond all reasonable expectations, providing an average annual return of 48.7% since then.

Since Russia’s invasion of Ukraine in 2022, countries have turbocharged weapons spending amid rising geopolitical and military threats. Defence sector profits have swelled, a trend that I’m expecting to continue.

Like most thematic defence funds, this product includes the usual blue-chip suspects like BAE Systems, Palantir, and Safran. But it also contains cybersecurity stocks including Palo Alto and CrowdStrike, reflecting the changing nature of warfare.

Future returns could disappoint if geopolitical tensions ease. But given the current direction of travel, this looks an unlikely scenario in my book.

The post Stunning 26.8% annual returns! Here are 3 ETFs I’ve bought to supercharge my SIPP appeared first on The Motley Fool UK.

HANetf Future of Defence ETF

Defence stocks have risen sharply in recent years as geopolitical threats have increased. Yet buying individual shares like BAE Systems and Rolls-Royce comes with higher risk than a basket of stocks with an exchange-traded fund (ETF).

,This is why I plumped for HANetf Future of Defence ETF (LSE: NATP) this month, which has risen 56.3% in the past year and has further to run, in my opinion. In its own words, the fund — established in 2023 — “provides exposure to the companies generating revenue from NATO and NATO+ ally defence and cyber defence spending“.

In total, the fund holds shares in 60 different companies. And unlike many defence ETFs, it provides significant exposure to cybersecurity companies (such as Palo Alto and CrowdStrike) alongside pure-play defence firms (such as Rheinmetall and BAE). This provides added diversification and growth potential:

According to Stockholm International Peace Research Institute (SIPRI) data, global defence spending leapt 9.4% in 2024. This was the steepest annual climb since 1988 — driven in large part by heavy rearmament in Europe — and meant total military spending rose 37% over a 10-year horizon.

Spending across broader European NATO members is tipped to continue rising sharply too, in anticipation of reduced US military support. This month, all NATO members (excluding Spain) rolled out plans to spend 5% of their domestic GDPs in defence through to 2035, primarily reflecting concerns over foreign policy threats from Russia and China.

While this HANetf allows me to spread risk, it still leaves me exposed to sector dangers that could depress its performance. Signs that NATO countries are struggling to fulfil their spending commitments could impact returns.

But on balance, I’m expecting it to continue delivering strong returns.

HSBC

HSBC (LSE:HSBA) has also enjoyed healthy share price gains of late, up 27.4% over the last year. Despite economic troubles in its key Chinese market, the bank’s bet on high-growth Asian markets — and on non-interest income segments like wealth management — continue to pay off handsomely.

Yet today, the FTSE 100 bank still offers excellent value for money, prompting me to add it to my SIPP. It trades on a forward price-to-earnings (P/E) ratio of 9.1 times, while its corresponding dividend yield is an enormous 5.9%.

HSBC still commands a low valuation given the risks of US-Chinese trade wars on its earnings. It also reflects the potential impact of falling interest rates on its margins.

However, I think the potential benefits of owning HSBC shares outweigh these risks. The bank has the scale to effectively capitalise on booming population and wealth growth in Asia, and is selling low-growth Western assets to better focus on these emerging markets. It’s also aiming to slash $1.5bn from its cost base by the end of 2026 to boost profitability.

I also like HSBC because of its deep balance sheet. A CET1 capital ratio of 14.7% provides it with substantial financial strength to invest for growth while still returning capital to shareholders through large dividends and share buybacks.

The post Here’s the FTSE 100 share and the ETF I bought for my SIPP in June! appeared first on The Motley Fool UK.