Prudence Bond

rhogley

Hi all,
I had a prudence bond set up for me some years ago when I inherited some money and I've always ignored it.

I do not have much of an understanding on how this account works and how it compares to alternative savings accounts.

Can anyone share any information on this subject? Thank you

EdInvestor

It's an investment, not a savings account.

Do you have any idea how it has performed?

Suggest you ring up and ask.

rhogley

the paperwork I have on it is a little over my head, but it seems to have increased on average at 5.2%
Is this an investement that does better the longer it is left
How can I found out how well it is doing this year?

dunstonh

Its a low/medium investment with a current bonus rate of around 5.75% (havent checked recently but it may have gone to 6%). I have a couple left on my books which are running in excess of 10% p.a. including final bonus.

Is your 5.2% before or after final bonus? Pru do tend to leave it for you to add in manually.

There are also two funds available, one is lower risk than the other. Which are you in?

It is also possible you have a unit linked version of this product although the term prudence bond tends to refer to the with profits version and not the unit linked one.