Here at The Motley Fool, we talk a lot about keeping steady during volatile times. And last week was an excellent example of why this approach is so important when you’re investing.
After some rough weeks, the market saw a big bounce last week. This kind of unexpected rebound is why trying to time the market is an impossible task. I’m going to reveal last week’s top shares and explore some investing insights.
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Which shares were most bought by UK investors last week?
During a much-needed upswing in the markets, these were the ten most-bought shares (by value of deals) on the Hargreaves Lansdown platform last week:
| Position | Share |
| 1 | iShares Core FTSE 100 UCITS ETF (ISF) |
| 2 | Glencore (GLEN) |
| 3 | Scottish Mortgage Investment Trust (SMT) |
| 4 | Rolls Royce Holdings (RR.) |
| 5 | Vanguard FTSE 100 UCITS ETF (VUKE) |
| 6 | Lloyds Banking Group (LLOY) |
| 7 | Polymetal International (POLY) |
| 8 | easyJet (EZJ) |
| 9 | Tesla (TSLA) |
| 10 | iShares Core II EURO STOXX 50 UCITS ETF (EUE) |
What do we know about these top shares?
By looking at where investors are putting their money, you can gain some useful insights into the state of the market and investor sentiment. Here’s a brief breakdown of what’s going on with the five most popular picks.
1. iShares Core FTSE 100 UCITS ETF (ISF)
This ETF (exchange-traded fund) is essentially an index fund that tracks the FTSE 100.
Using an index fund like this is a simple and cheap way to invest in the biggest UK companies. It’s a sought-after investment on these shores, but now more than ever.
The FTSE 100 saw a steady rise throughout last week as the current economic climate serves the businesses that make up a big chunk of the index. This includes firms in the energy, financial and consumer staple sectors.
2. Glencore (GLEN)
Glencore shares have been steadily growing in popularity, and the ongoing uncertainty around energy has created conditions for the company to prosper.
This commodity and energy giant is a strong pick for investors looking to get some broad exposure within high-demand areas such as metal mining, fuels and even wheat!
The shares have seen a lot of growth, and plenty of investors still believe the climate is ripe for more growth. However, it’s important to remember that past performance is not an indicator of future results.
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3. Scottish Mortgage Investment Trust (SMT)
These shares have been battered in recent months, basically wiping out much of the gains made over the last couple of years.
However, there was a glimmer of hope last week as the share price rebounded. This bounce has plenty of investors grateful that they continued picking up shares in SMT at discount prices.
This investment trust focuses on the long-term landscape. It attempts to outpace inflation by hunting down the outliers trying to disrupt industries, hopefully resulting in massive growth.
4. Rolls Royce Holdings (RR.)
Always a popular choice amongst UK investors, Rolls Royce has had a turbulent time lately.
The share price saw a big fall at the beginning of the coronavirus pandemic due to restrictions around travel. Since then, the price has remained muted, but many investors have been hopeful about a strong recovery.
However, Rolls Royce shares took another tumble following the announcement that chief executive Warren East is stepping down. Still, long-term investors view this as another short-term issue, and continue to buy shares in this iconic firm.
5. Vanguard FTSE 100 UCITS ETF (VUKE)
Here’s another way you can invest in the FTSE 100.
Although this ETF has a very low ongoing investment cost of 0.09%, it is slightly higher than the iShares (ISF) fund’s current cost of 0.07%.
This is potentially why the iShares version is more popular, but Vanguard still has a supportive base of investors.
How do you invest in top shares?
If you want to invest, you’ll first need a share dealing account. With the end of the tax year just weeks away, it’s also worth using something like the Hargreaves Lansdown Stocks and Shares ISA. Protecting your investment gains from tax is an excellent way to boost your odds of becoming a successful investor.
Looking at the value of deals rather than the number of deals gives us a different market perspective. Whereas the number of deals tells us what’s grabbing investor intention, the value of deals metric shows us where the big money is moving. Seeing this allows you to ‘swim with the whales’.
Just remember that all investing carries risk. You might get out less than you put in, so always consider any moves carefully before jumping in.
