Just ten per cent of ISA (Individual Savings Account) investors have taken advantage of the new limit since its introduction in July 2014, according to investment group Cofunds.
The company also reported that 20 per cent of investors have so far made partial use of the increased allowance.
Research from Cofunds showed that in the six months following the launch of the NISA (New Individual Savings Account) on July 1 2014, over 62,000 investors have used the new £15,000 allowance, including over 10,000 brand new investors to the platform putting in the full NISA allowance. Stephen Wynne-Jones, head of marketing operations at Cofunds, said: “Although there have so far been strong flows into NISAs, there are still plenty of investors yet to take advantage of the tax benefits. “This is obviously where advisers come into play, liaising with their clients to raise awareness of the changes and to recommend a review of their portfolios.” In terms of the flow of funds into NISAs, mixed investments of 20-60 per cent has been the most popular sector. Mr Wynne-Jones said: “The mixed investment 20-60 per cent sector has been a consistent leader for ISA funds, providing greater flexibility and a wider choice for investors. “These funds offer a safer haven for those investors who act on the side of caution whilst, at the same time, maintaining some exposure to rising markets. “As the end of the financial year fast approaches, the first one since the NISA changes last year, we expect to see flows increasing significantly as the new limits really come into their own.” Utilising your tax-efficient allowances can be crucial in the search for decent returns, always remembering that the value of investments can fall as well as rise and you may get back less than you invested.