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IFA Value
Comments
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It was a one off 1.5% at start with no annual IFA fee and also the standard Pru fee of 1.35 - 1.75 I believe it is annually. The reason for this product is to do with estate planning (protection) and the fact it has a life insurance element which differentiates the product from other investments without going into too much detail. Growing the fund quickly is less the focus and protecting the estate is more the focus.0
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The prufund is an investment fund. Its available in multiple tax wrappers. Pension, ISA and investment bond form. The fund doesnt have life assuarnce. The wrapper does.and the fact it has a life insurance element which differentiates the product from other investments without going into too much detail.
However, investment bonds are subject to internal taxation of 20% (compared to ISAs and unwrapped that have no internal taxation). Estate planning can make an investment bond viable. However, the investments used within the investment bond can be the exact same ones you can use in ISAs, pensions and unwrapped.
How the hell was all this discussed and researched in the space of the initial free meeting?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 -
It was a one off 1.5% at start with no annual IFA fee and also the standard Pru fee of 1.35 - 1.75 I believe it is annually. The reason for this product is to do with estate planning (protection) and the fact it has a life insurance element which differentiates the product from other investments without going into too much detail. Growing the fund quickly is less the focus and protecting the estate is more the focus.
What are your circumstances that need you to have life insurance coupled to this investment rather than buying it separately (dunstonh states that in the UK that's not a major feature of investment bonds anyway) and why do you need the investment bond otherwise, is it for tax/IHT purposes. Are you looking to transfer money to relatives? Are you maximizing all the usual wrappers like SIPPs and ISAs. why is the insurance bond appropriate?“So we beat on, boats against the current, borne back ceaselessly into the past.”0
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