About the Prudential Investment Plan
Our Prudential Investment Plan is an investment bond that lets your clients invest their money in a range of different funds. The plan aims to grow the value of their investment over the medium to long term (5-10 years or more).
- Your clients can start with a single payment and can then make additional lump sum payments if they want to.
- Withdrawals can be made, and they can cash in their plan at any time.
- Minimum initial investment: £10,000 (after any set-up Adviser Charges)
- Maximum investment: £5 million (including initial investment and additional top-ups)
If your client would like to invest more, please contact your Account Manager.
Your clients can:
- Cash in their plan at any time
- Take regular or partial withdrawals at any time
- Set the amount and frequency of regular withdrawals
The maximum level of regular withdrawals during any 12 month period is the greater of:
- 7.5% a year of the value of the fund, or
- 7.5% of the total amount paid into the plan
Your client can take up to 5% of their initial investment and any additional investments as a tax-deferred withdrawal each year. Anything above this may be liable to immediate Income Tax. Your client might need to pay tax depending on their circumstances and the options they choose. Tax rules can also change in the future.
All withdrawals are subject to a minimum withdrawal payment of £50.
Download the Key Features document for more information.
Features
Risks
Key Documents
Client documents
Access all documents
Tools & calculators
Investment Options
The Prudential Investment Plan offers a wide range of investments for your clients to choose from, with access to Prudential’s Multi-Asset Fund range including the established PruFund range of funds.
See the Prudential Investment Plan fund guide for more details on the funds available.
- PruFund
- Risk Managed
- Other investment options
PruFund
Our range of globally diversified, expertly managed multi-asset solutions, offering the potential for growth. Their established smoothing mechanism aims to provide clients with a less volatile investment experience.
PruFund guarantees
We offer guarantees for the PruFund Protected Cautious Fund. At the end of the selected guarantee term the fund will be worth at least the amount your client invested (subject to charges, enhancement or withdrawals).
Risk Managed
The risk-managed range of funds aims to achieve the right mix for your client’s portfolio with a balance of cost, investment styles and a choice of five risk levels.
There are two ranges: Risk-Managed Active and Risk-Managed Passive. The funds are available across a wide range of platforms.
Other investment options
Access additional internally and externally managed funds, which offer a range of assets to suit differing client needs.
Find out more about fund availability.
Find out more about the performance of the funds.
Costs & charges
We take an Annual Management Charge for looking after your investment.
- Unit-Linked Funds: we take an Annual Management Charge (AMC) from each of the funds your client invests in. The charge is taken daily as a deduction from the fund.
- PruFund Funds: we take the AMC for these funds by deducting a percentage of those units from the plan every month.
There are other costs which aren't covered by the Annual Management Charge. These can include, for example, maintenance costs for property investments and costs associated with investing in infrastructure, such as utilities, transport and renewable energy. These can vary over time.
Further information on the charges and costs for each fund can be found in the appropriate Key Information Document and Investment Options Documents linked to at the top of this page. The Prudential Investment Plan fund guide also includes information on fund charges and costs.
We offer Fund Size Discounts on the Annual Management Charge which apply to the whole investment, not just the portion above the threshold levels shown below.
Assets Under Management (£) | Fund Size Discount From Annual Management Charge (%) |
|---|---|
| <24,999 | 0.30 |
| 25,000-49,999 | 0.35 |
50,000-99,999 | 0.40 |
100,000-249,999 | 0.45 |
250,000-499,999 | 0.475 |
500,000-999,999 | 0.50 |
1,000,000-1,749,999 | 0.525 |
1,750,000-2,999,999 | 0.55 |
3,000,000+ | 0.575 |
Your clients can switch funds at any time, but can only invest in 10 funds at any time. We currently don’t charge for switching, but if this changes in the future, we’ll inform your clients.
The minimum amount your clients can switch is £500. If they’re not switching the full value of their investment from a particular fund, they must leave at least £500 in that fund.
Further details on fund switching can be found in the Fast Facts.
The PruFund Protected Growth Fund is currently unavailable to new investments.
We offer guarantee terms for both PruFund Protected Cautious Fund and PruFund Protected Growth Fund, where the guarantee will only apply at the end of the selected guarantee term (the guarantee date) providing your client doesn’t switch out of the funds.
Once the guarantee term has been selected, the charge will remain fixed throughout the guarantee term. The guarantee will only apply at the end of the selected guarantee term.
More details about charges can be found in The PruFund Range of Funds: Guarantee Options.
The level and shape of Adviser Charging is agreed between you and your client.
There are three types of Adviser Charges:
- Set-up Adviser Charge: deducted from the initial investment before it is invested in the plan
- Ongoing Adviser Charge: taken at plan level, will apply across all in-force segments
- Ad hoc Adviser Charge: after the initial plan is set up, the client can request an ad hoc payment to be made to the adviser
Ongoing and ad hoc Adviser Charges affect the 5% annual withdrawal limit for Income Tax purposes.
Find out more about Adviser Charging in the Fast Facts document for the Prudential Investment Plan.
e-Signature
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Application form
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Additional investment application form
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Fund switching form
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Fund switch mandate form
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Tax self certification declaration form
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Investment online submission declaration form
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Confirmation of verification – Identity form
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Confirmation of verification of identity form - corporate and other non-personal entity
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Full and partial cash-in form
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Regular withdrawal instruction form
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Adviser charge instruction form
The signed document must include an audit review summary page that confirms:
- Unique document identifier
- The names/email addresses of the parties that have e-signed a document
- The dates and times it was e-signed
- The IP address of the location that it was signed, additionally it may contain the MAC address of the electronic device that was used
The form will not be accepted if it does not include the audit review summary page.
We can only accept application forms and documentation from the following approved e-signature providers:
For more information, please contact your Prudential Account Manager.
