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Police Mutual Guaranteed Investment bond
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berbatov10
Posts: 376 Forumite
Does anyone have any views on this? Its a 5 year product after each 5 year period any growth is locked in. Along side this your investment is guaranteed so even if there is no growth you or worse you get back your initial investments
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Comments
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3.5% initial charge.
0.5% annual charge.
0.75% additional annual charge to provide the guarantee.
It's effectively a lump sum endowment policy with highish charges, limited free access and very modest past investment performance.
http://www.policemutual.co.uk/media/230873/guaranteed-investment-bond-keyfacts.pdf0 -
The KFD linked by O4U indicates the charges equate to 1.65% p.a. over a 10 year period. That is for a pretty obsolete fund in a tax wrapper that is niche (less tax efficient than S&S ISA and unwrapped unless higher rate taxpayer or frequent user of CGT allowance)I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0
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