Navigating Tax Year End: Insights from Margetts

Welcome to our first blog post! This marks the beginning of a wider initiative aimed at strengthening our engagement with investment advisers, whilst also providing insight into our operations, industry developments and the unique advantages we bring to our investors or partners. Over the past 6–12 months, we have undergone several strategic changes, all with the objective of increasing our visibility in the market and reinforcing our brand within the financial services industry.

Our first blog coincides with a particularly significant time in the financial calendar: Tax Year End. This is a crucial period for investors and their financial advisers as they make final adjustments to their portfolios to maximise tax allowances. This post will explore how we, as both an Authorised Corporate Director (ACD) and a Fund Manager, prepare for our busiest time of the year, ISA season.

What is an ISA and why is the Tax Year-End important? 
As you will likely be aware, an Individual Savings Account (ISA) is a tax-efficient way to invest, with the UK Government allowing for up to £20,000 to be saved in an ISA for the 2024/2025 tax year, without paying tax on the interest or investment returns. The tax year end is therefore a critical time for ISA holders because it marks the deadline for investors to use their annual ISA allowance. Basically, if investors don't use their full allowance by 5th April, it will refresh and they may lose out on potential benefits, because allowances do not roll over into the next tax year. This makes it essential for investors and their investment advisers to review their finances, ensuring that they are making the most of the tax-free savings’ opportunities.

Different types of ISA products offer different benefits for different customers, with Margetts offering a Stocks and Share ISA. We also offer Junior ISAs (JISAs) which provides a valuable tax-efficient option to invest on behalf of children and young adults. The ability to wrap investments effectively under the right tax structures is a crucial consideration. If you would like to find out more information on these for you or your clients, please get in touch.

Beyond ISAs: Tax Year-End Considerations
Tax Year End is not just about ISAs. Investors and advisers also need to assess capital gains tax (CGT) implications and ensure that tax statements reflect accurate holdings and gains. Given recent changes to CGT allowances, effective tax planning is more important than ever. Our reporting capabilities provide investors with the necessary insights to make informed decisions regarding tax-efficient investing. Our in-house Client Services team is available to provide the reporting an investment adviser may need to review their clients’ holdings and to provide CGT reports. Additional services available at Margetts include an auto-ISA which can automatically Bed-and-ISA assets held in non-ISA general investment accounts in a bulk at the start of the Tax Year, or periodically throughout the year. Another useful way we see investors utilising their allowances is by investing into their ISAs through a Regular Investment Plan which we collect by Direct Debit. 

Unique Benefits of Investing Directly with Margetts
In addition to our ACD services, Margetts are also experienced fund managers. Margetts Fund Management specialises in collective investment scheme solutions, with over 30 years’ experience in managing risk rated multi-manager funds. Our active management strategies are designed to provide enhanced returns for the level of risk undertaken, allowing you to choose the level of risk exposure based on the client situation and amount of time that you expect the investment to be held. Our core product, the Risk Rated Funds, can be blended; or used independently to build a Risk rated portfolio. To find out more, please visit our website or email admin@margetts.com.

A key differentiator of Margetts as an ACD and Transfer Agency is our ability to offer direct client access to our products and services. Many ACDs require investors to invest via platforms or SIPP providers, but these can often introduce additional service level constraints and potential delays. Our structure allows us to offer same-day turnaround, enabling investments to be processed right up to the dealing deadline - either 12 PM or 5 PM on the final working day before the tax year-end. Additionally, our online portal provides investors with access to their holdings, enhancing transparency and convenience. Additionally, we also have Adviser level access so they can clearly see their investors holdings and their unused ISA allowances.

Our in-house Transfer Agency (TA) plays a critical role in ensuring the smooth handling of tax year-end transactions. While our TA team works diligently throughout the year, we consistently see a peak in volumes between February and April. Unlike many other ACDs that rely on external providers, we maintain full control over our service levels, ensuring a seamless experience for investment advisers and their clients.

Insights from Our COO
With the number of funds, we operate continuing to grow, reaching 97 as of March 2025, scalability is a key focus of our strategic objectives. Our commitment to resource planning and system enhancements ensures that we can efficiently handle increased transaction volumes during this busy period. Matthew Jealous, our Chief Operating Officer, emphasises the significance of ongoing process improvement and technology adoption:

“We continue to see volumes increase year on year, and our priority remains reviewing processes and leveraging technology advancements to ensure we can scale efficiently. The key benefits of having an in-house Transfer Agency mean we can adapt to demand, delivering a seamless experience to investors and advisers.”

If you have any questions, or would like to learn more about our services, please get in touch.

Stay tuned for more updates coming soon from Margetts!

* Margetts Fund Management Limited is authorised and regulated by the Financial Conduct Authority (FRN: 208565). This information is designed for investment professionals only and must not be considered as investment advice. Investors should seek professional advice before making any investment. The value of investments and the income derived from them can fall as well as rise. Capital is at risk so investors may not get back everything initially invested. Past performance is no guarantee of future performance.