Welcome
to Financial Elite's free IFA brokerage service
Investment
Bond Review
Investment Bond
Review 2008
Stop Press:
Alistair Darling's recent pre-budget address making changes to Capital
Gains Tax, simplifying and reducing the taxation of that regime, now
makes the holding of investment bonds arguably a higher-taxed
investment. That means, investment bonds may be on the way out, to be
replaced by directly held investments like Unit Trusts and OEICs.
Want advice? You should,
as you may be paying tax unnecessarily.
Any
good IFA believes all types of investment should be reviewed regularly: in particular the following should be looked at now:
-
Any type of onshore or
offshore bond with a choice of unitised funds.
-
All investment bonds currently invested in with-profits funds.
-
Any kind of "portfolio" bond
(bonds with access to investments other than just those prescribed
by the investment bond provider).
-
Anyone with an investment bond
who is unsure as to the tax treatment, or indeed if you are unsure
whether holding investments this way is the most tax-efficient for
your circumstances.
-
Anyone holding an offshore
bond and are not sure if you should instead hold onshore, and
vice-versa.
-
Anyone who is taking 5% or
less per annum income from their bond and the capital in their bond
is not being maintained.
Why
Review?
Many
people are unaware of the charges they are incurring in their investment
bonds, which in some cases could be eating up all of the growth!
Others may not have reviewed their fund choice or fund performance for
years. In these days of competitively charged investments, and generally lower returns on equities and fixed interest
investments, it is important to evaluate the charges incurred by your
investment bond, and your funds performance, and see where it is going in the longer
term.
Many
people change their mortgage regularly by shopping around for the best
deal. Why not move your investments to a better deal if it is in your
interests to do so? In some cases a good IFA could even reproduce
an identical of investments with much lower costs.
What
might constitute a poor investment bond?
One
which contains any one of:
-
High
initial charges, such as bid/offer spread, or allocation rates less
than 100%.
-
A
high policy fee.
-
High
annual management charges.
-
Poor
fund performance (unitised funds) or low/no bonuses (with-profit
funds).
Might
I incur a penalty if I move my bond?
Possibly,
but if you are subject to any penalties your IFA will identify and evaluate
them, and see if a newer policy is still more economic in the longer
term even after a penalty is taken.
How
do I find out if my investment bond has high charges or poor performance?
Let
an IFA review it for you!
An adviser recommended by us can analyse your bond's charging structure going
forward, and its past funds performance, and compare it to current products
in the market.
A
basic
review of your current
investment position is usually a a simple matter. The IFA will advise
whether in his opinion you are better to stay as you are or whether a
change seems warranted. If the latter, they will explain your situation and recommend the next steps.
To
take advantage of this offer to evaluate your current investment bond position, just
complete the form on the top right of this page!
Financial
Elite Limited is not a firm of financial advisers, We do however have
extensive experience in the fields of financial services and client
relationship management, and have the expertise to assist you in finding the right IFA so
that you
receive high quality advice specific to your needs. Just complete
the form and we'll do the rest.
We offer a FREE service matching you with a fully qualified Independent
Financial Adviser ("IFA") who has the right qualifications and
experience for your needs, and is local to your home or work.
Many financial decisions are of critical importance, and you cannot
afford to get them wrong. You need (and should expect) the best quality advice to
help you choose the correct course of action. IFAs cannot be
specialists in all fields, which is where we come in. We will recommend
and put you in touch with an IFA from a major national company, local to your home or
work, who has the right qualifications and skill set for your
specific needs.
An initial discussion will be free of charge or
obligation. Frequently a simple review of your pensions situation, with
basic guidance on your options, will also be available at no cost (this
would not apply to detailed a review or complicated situations). Just complete the
simple form on the right of this page and we will recommend
the right IFA to you, who will contact you same or next working day to
discuss your case.
Financial Elite Limited- 2008
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