5 funds for your ISA: Index Tracker

The Motley Fool
Piggy bank
Piggy bank

Trackers offer low-cost diversification. But which should you put in your ISA?

Each day this week we're highlighting a fund you may wish to consider for your ISA. Today we turn our attention to the index tracker, which can produce market returns at low cost.

Some investors are uncomfortable buying individual shares: they're too risky, they think. But investment funds, which spread the risk by holding a selection of shares chosen by the fund manager, often carry an equally obvious drawback: high charges.