Picking shares to go in ISA. Help please

[timidviper]

DH puts money in an ISA for each of us each year and has set up a Stocks and Shares ISA for me. Apparently I just have to pick a few companies whose shares will go in it. I don't know where to start!

I have been told that most shares are overvalued at the moment and may fall so a high dividend may be a good idea but this is a long term investment so if it falls it could recover too.

I have Googled FTSE 100 High Dividend and names I recognise are National Grid, Centrica, BAE, Unilever, Sage Group, Rio Tinto, Anglo-American and several drug companies and supermarkets. Has anyone got any suggestions please? What should I look for?

Go for funds first - unless you have a lot of money (even if you have the max. annual ISA allowance, that won't be enough), you can't be diversified enough in individual stocks.

PLUS, the fees for buying and selling stocks are MUCH higher than funds (often free).