What is a general investment account? Pros and cons


A general investment account is an account that allows people to hold investments outside of tax shells such as annuities and ISAs. As long as you have been in banking for at least five years, there is no limit to how much you can invest in your GIA account or when your funds can be used. Unlike ISAs, interest received from these accounts is taxable. The tax payable depends on your circumstances.

General Investment Account Benefits

GIA has many benefits.

Easy Access

GIA gives you easy access to your deposits and withdrawals at any time. However, early withdrawal of funds reduces potential returns.

Available Online

With global internet access, you can manage your general investment account from home through an online portal. It gives you an accessible view of your investment status, which you can easily withdraw or make changes at any time.


With GIA clients referred by fixed income professionals, access to a variety of portfolios provides the right level of diversification and growth potential to match loss capacity or risk appetite.

Reduce Risk Factors

The wider the range of investments obtained, the less impact it will have on the collective fund, as funds are spread across more investments.


You can create a joint account with a partner or multiple people. However, this is not possible with annuities or ISAs.


If you want to transfer your savings to someone else's account, GIA can do it.

Broad investing reduces the risk of the underlying portfolio because fund managers can buy more investments by pooling everyone's money.

Disadvantages of general investment accounts

Zero Tax Benefits

Any GIA investment dividends in excess of your available annual personal or free dividend exemptions are subject to income tax. Income tax and capital gains tax are deducted based on your tax situation. There are no tax benefits for general investment accounts. However, if you don't want to lock up your money in your pension until you turn 55, GIA can be beneficial. Another way it might be beneficial is if you've used up all your annual ISA allowances.

Depends On Estate Fund

A general investment account counts as part of your estate when calculating estate tax. Inheritance tax is levied on money or property inherited or gifted from the deceased's family or friends. It only applies to estates over 2 million.

Bottom Line

When investing in a monetary marketing farm, gather all the necessary information before assigning a risk profile. A strong investment portfolio can protect you from unnecessary risk. The value of an investment and any income from it may go up as well as down. Investors sometimes get less than they invest. If you are not sure what to invest, consult a financial advisor.