Hargreaves Lansdown says it has 69% more Isa millionaires than in 2020

Investment platform Hargreaves Lansdown says it had about two-thirds more Isa millionaires by the end of 2021 than a year earlier.

It counted 973 Isa millionaires on its books, up by 69% from 576 at the end of 2020.

Isa millionaires are typically in their 70s, the company said, adding that it does have some aged in their 20s and 30s.

A third had maxed out their £20,000 annual allowance in the first month of the tax year. Just over two-thirds of Hargreaves Lansdown Isa millionaires are men.

The value of stocks and shares Isas can go down as well as up, and markets have been turbulent recently amid global uncertainty. Investors may want to consider taking independent financial advice.

Sarah Coles, senior personal finance analyst, Hargreaves Lansdown (HL) said: “Isa investors don’t take enormous risks. More of them hold collective investments than single shares.

“Their focus is to consistently invest as much as possible of their annual allowance, as early as possible in the tax year, in a diverse and balanced portfolio.

“And they’ve done this every year for decades. There are some exceptions to the rule, who have built a million in quick-time, and some Isa millionaires are still only in their 20s or 30s. However, most tend to be much older – and the average age is 72.

“The top 10 shares held by this group are dominated by blue chip companies, including those that traditionally pay strong dividends. It means most of them aren’t speculating, they’re investing for the long term.”

AstraZeneca, Aviva, GlaxoSmithKline, Unilever, Lloyds Banking Group, Legal & General Group, Royal Dutch Shell, BP and National Grid were among the most popular shares held by Isa millionaires at the end of last year, Hargreaves Lansdown’s analysis said.