With the end of the tax year approaching, wealth management group Nutmeg has brought back its generous Avios offer for opening a SIPP or ISA.
The deal is a little different this time around. Instead of giving you a flat amount of Avios, you will receive one Avios point, up to a maximum of 50,000 Avios, for every £1 you invest when you open an account with Nutmeg by 9th April 2017.
Full details can be found on the Nutmeg website here.
What is Nutmeg?
Nutmeg is an innovative online wealth management service which offers intelligent investment portfolios to anybody with just £500 to invest with additional monthly contributions of at least £100. If you are using St James’s Place, Hargreaves Lansdown etc. then the simple Nutmeg fee structure should be of interest.
Your money will be invested in what the company describes as a robust, diversified portfolio that spreads risk across asset classes, geographies and industries. Your Money has voted Nutmeg the best online Stocks and Shares ISA provider for both 2015 and 2016.
How much do I need to invest?
You can open an account with the minimum contribution for an ISA of just £500, as long as you make additional monthly contributions by direct debit of at least £100. You can also make an initial lump sum contribution of £5,000 or more.
What is the maximum I can invest?
The maximum you are allowed to invest in an ISA in the 2016/17 tax year, which ends on 5th April, is £15,240. You can invest more – Nutmeg will give you one Avios point per £1 on initial investments of up to £50,000, which would earn you 50,000 Avios – but anything you commit in this tax year beyond £15,240 will be placed in a general investment account.
The ISA limit for 2017/18 will be £20,000. If you have already opened an ISA with someone else for 2016/17, you can still take advantage of this offer by jumping in quickly on 6th April when the new tax year starts.
This offer is valid for invested accounts opened by 9th April 2017.
How many Avios will I receive?
You will receive one Avios point per £1 invested.
However, it is important to note the following:
you receive Avios based on your INITIAL deposit only – if you deposit £15,240 today and another £20,000 on 6th April for the new 2017/18 year, you will only receive 15,240 Avios
the offer is only open to new Nutmeg customers – if you already have a Nutmeg ISA or SIPP and open a new account on 6th April for the new 2017/18 tax year, you will not receive any Avios
When do I receive my Avios?
Your bonus can be credited to either an avios.com or British Airways Executive Club account and you will receive your Avios points within 45 days of making your initial investment.
If you close your Nutmeg account within 12 months, Nutmeg reserves the right to impose an exit penalty to cover the cost of the Avios points awarded.
How do I apply?
You need to sign up and invest via this special landing page to earn Avios. Applications via the standard Nutmeg home page will not earn any points.
Remember that your capital is at risk. The value of your investment, and the income you get from it, can go down as well as up. As with any investment, there is a chance you will get back less than you originally invested. ISA and Pension rules apply.