10 hottest ISA shares, funds and trusts: week ended 28 June 2024

With the new tax year under way, we look at the investments ii customers have been buying within their ISAs during the previous week. The data includes only real-time trades, not regular investing instructions, and combines the use of both existing funds and new money.

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Top 10 shares in ISAs

There are five new entries to focus on in this week’s 10 most-bought ISA stocks on the interactive investor platform.

GSK (LSE:GSK) was the highest new entry as bargain hunters snapped up stock at prices not seen since the start of 2024. Behind the slump was a ruling which could significantly reduce the addressable US market for the company’s Arexvy jab for respiratory syncytial virus (RSV). You can read more here.

Trading above 1,800p just five weeks ago, GSK shares changed hands for as little as 1,484p in the aftermath of the ruling.

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National Grid (LSE:NG.) is popular again after dropping out of the top 10 once its £7 billion rights issue completed mid-June. There’s no fresh news, though. The share price is above its post-cash call floor of 826p, but has drifted back below 900p, so perhaps investors see value there.

And from FTSE 100 billions to small-cap minions – £9 million molecular diagnostics company Genedrive (LSE:GDR) found itself in demand after an update on its CYP2C19 genotyping; a test that helps determine responsiveness to the drug clopidogrel, which helps prevent blood clots if you are at greater risk of having them.

It said: “Genedrive…acknowledges, as announced on April 3, that the UK's National Institute for Health and Care Excellence (NICE) has recommended in draft guidance that CYP2C19 genotyping should be used to guide clopidogrel use after ischaemic stroke or transient ischaemic attack, and that the Genedrive CYP2C19-ID test should be used as the test of choice for point-of-care strategies”.

Genedrive said a final publication from NICE has been bumped from 10 July to 31 July.

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Another volatile small-cap stock Petro Matad Ltd (LSE:MATD) has made it into the top 10 after announcing early last week it was raising $9 million.

Because the share placing and retail offer were made at 2p, shares in the AIM quoted Mongolian oil company fell from 3.75p to a low of 2.1p before improving slightly. It will use the money to “complete and put Heron-1 on production, drill, complete Heron-2 and put on production, drill the Gobi-Bear 1 exploration well and develop renewable energy projects”.

Finally, Diageo (LSE:DGE) rounds off the top 10, making the list for only the second time. Again, bargain hunters appear attracted by a further drop in share price at the premium drinks firm. They’re now at their lowest since November 2020 at 2,474p versus 4,100p at the beginning of 2022.

Analysts at Bernstein cut their price target to 3,450p from 3,600p, a week after Barclays dropped its target to 3,360p.  

High interest rates mean consumers are more likely to trade down from Johnnie Walker whisky, Smirnoff vodka and Baileys to value brands, and this trend is hurting Diageo’s core US market. However, fund manager Nick Train holds the Guinness owner in his portfolio and recently said “a lot of bad news is already in its price and we think it makes far more sense to be looking to buy than sell at this juncture”.

Top 10 funds and trusts in ISAs

There were five new entries in the list of most-bought ISA funds and investment trusts last week.

Ranked in second place was NextEnergy Solar Ord (LSE:NESF), making its first appearance in the top 10 since May.

On a -24% discount to net asset value and a 10% yield, it invests in around 100 income-producing solar power assets around the UK. Shares have fallen about 11% this year.

Another renewable energy investment trust rising up the ranks is Greencoat UK Wind (LSE:UKW), in third place now compared with 12th last week. On a -17.5% discount, it yields 7.5%. 

The other new entries last week were global strategies Alliance Trust Ord (LSE:ATST) and JJPMorgan Global Growth & Income Ord (LSE:JGGI), and tracker fund Vanguard US Equity Index. Alliance Trust announced it was merging with fund of funds rival Witan Ord (LSE:WTAN) last week which, if successful, would create a £5 billion global equity trust. 

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The most-bought collective for the third week running was L&G Global Technology Index.

Three funds fell in popularity but kept their place in the top 10: Jupiter India (down one place to fourth), Vanguard LifeStrategy 80% Equity (down one place to fifth) and Scottish Mortgage Ord (LSE:SMT) (down four places to sixth). 

Polar Capital Technology Trust, HSBC FTSE All World Index, Allianz Technology, Vanguard LifeStrategy 100% Equity and L&G Global 100 Index Trust all fell off the list.

Royal London Short Term Money Mkt, offering investors a safe 5% yield through cash-like instruments, was unchanged in seventh place.

Funds and trusts section written by ii’s Sam Benstead.