My Stocks and Shares ISA has taken a battering in recent months. Recent stock market volatility means that my shares portfolio is firmly in the red.
There’s a variety of macroeconomic issues that could continue to pull the value of my investment ISA much lower too. These include soaring inflation, aggressive central bank rate hikes, and a global resurgence in Covid-19 cases.
I’m still buying stocks!
But the threat of a fresh bear market — perhaps even a stock market crash — isn’t stopping me from building my Stocks and Shares ISA.
This is because I buy UK shares with a long-term view. I look for stocks I believe will deliver a spectacular capital gain over say a decade, or more.
There are clear dangers to many stocks I own in next 12 months, perhaps a bit longer. Though I intend to cling onto them in the expectation that I will still make a huge capital gain from them.
2 UK shares for an ISA
Here are two top stocks I’d use my own ISA allowance to buy today. I think they will deliver spectacular investor returns.
1. Agronomics
Agronomics (LSE: ANIC) is a share I expect to soar in value as the theme of ethical, or responsible, investing takes off.
This venture capital business invests in firms that produce agricultural products directly from cell cultures. It has spread its net wide too as it owns stakes in manufacturers of lab-grown beef, chicken, and pork, even leather and pet food.
Demand for these types of products are tipped to soar as consumer worries over animal welfare and emissions levels from traditional farming methods grow.
Analysts at Boston Consulting Group believe that ‘alternative protein’ products like this could account for 22% of all the world’s protein consumption by 2035.
The companies Argonomics invests in, like Mosa Meat, are tiny. So they lack the huge budgets that food giants such asTyson Foods — one recent entrant in the lab-grown meat sector — have to exploit this growing trend.
But Agronomics is taking steps to make a big impact on the market. The range, and the quality of the cutting-edge companies it has invested in, mean it still has exceptional investment potential.
2. WH Smith
I believe WH Smith (LSE:SMWH) could prove a great buy for ISA investors over this time frame too.
I like this UK share because of its ongoing international airport expansion programme. The business currently has 125 stores waiting to open and tender activity to add to its estate is ongoing.
What this means is that the business could deliver exceptional profits growth as the global commercial aviation sector grows. Airbus thinks worldwide passenger traffic will grow at an annualised rate of 3.6% over the past 20 years. The number of people passing through WH Smiths doors could therefore be set to balloon.
Trading at this UK share came at the top end of forecasts in the 15 weeks to 11 June. I’d buy the stock, even though the impact of rocketing inflation on travellers’ spending power is a near-term concern.