Stock market crash: 3 reasons I’d buy cheap UK shares in an ISA today to make a million

first_imgStock market crash: 3 reasons I’d buy cheap UK shares in an ISA today to make a million Peter Stephens | Sunday, 9th August, 2020 I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. Simply click below to discover how you can take advantage of this. “This Stock Could Be Like Buying Amazon in 1997” Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Enter Your Email Address Image source: Getty Images. I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Our 6 ‘Best Buys Now’ Shares Buying cheap UK shares after a stock market crash could prove to be a very profitable strategy for long-term investors. Not only is there scope to buy high-quality businesses at low prices, the track record of the FTSE 100 and FTSE 250 suggest that a recovery is very likely.Moreover, the returns available from other assets are likely to be very disappointing in the coming years. Therefore, buying undervalued UK stocks in an ISA today could be a means of improving your chances of making a million.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Cheap UK sharesThe stock market crash means that many UK shares trade at low prices. Certainly, their financial prospects in 2020 and potentially over the next couple of years are now more challenging than they were previously. However, they are still the same businesses with the same long-term growth potential in many cases.To state the obvious, buying them at lower prices is likely to be a better idea than buying them at higher prices. It enables an investor to generate higher capital returns over the long run. While it may mean there is a period of volatility, and even some paper losses along the way, many FTSE 100 and FTSE 250 companies have solid balance sheets and sound strategies through which to ultimately recover from the present economic downturn.Recovery after a stock market crashThe recent stock market crash was faster than many previous downturns. However, the FTSE 100’s fall of 34% from its 2020 starting price to its March low was not among the largest of bear markets experienced since its inception in 1984.More importantly, the stock market has always recovered following every one of its previous declines to post new record highs. Therefore, investors who are able to buy after a major downturn and before a sustained recovery has taken place may position their ISA portfolio for long-term growth. Although the process of recovery can take months, or even years in some cases, history suggests that is it a very likely outcome.Relative appealThe appeal of UK shares after the recent stock market crash appears to be significantly higher than for other mainstream assets. For example, low interest rates mean that the returns on cash and bonds are exceptionally low. Meanwhile, the high price of gold and the question of affordability may mean that the precious metal and buy-to-let properties struggle to keep pace with UK stocks in the coming years.With the FTSE 100 and FTSE 250 having produced high-single-digit annual total returns since inception, investing £500 per month in a wide range of stocks over a 35-year period could lead to a £1m+ ISA portfolio. By investing in undervalued shares today, you may be able to obtain even higher returns and boost your portfolio’s prospects in the coming years. See all posts by Peter Stephenslast_img read more