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Trustee Investment Plan 

Single premium investment for trustees of UK registered Occupational Pension or Self-Invested Personal Pension (SIPP) schemes. Subject to an Openwork minimum for a new SIPP of £200,000. 

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Key documents

 

View all documents for this product 

Information about Trustee Investment Plan (TIP) is below. If you have any questions or would like to discuss TIP in more detail please speak to your Prudential Account Manager. 

Features and benefits

  • Fund Size Discount is applied to the Annual Management Charge depending on the size of the fund.
  • Access to the PruFund range of funds, which can help balance higher risk or illiquid assets which may be held in the Scheme, together with growth potential.
  • As an alternative to holding large cash balances in a trustee’s bank account, the Trustee Investment Plan offers the potential for real growth which could help against the effects of inflation.
  • Regular, partial and full withdrawals. Regular withdrawal facility can provide income (subject to limits) without the need to sell or release funds from other assets held in the scheme which may be less accessible, such as property investments.
  • Income flows could help cover payments and costs after the first 12 months, such as drawdown payments, loan repayments, and any ongoing costs and charges within the scheme.

The value of an investment can go down as well as up. Your client could get back less than they paid in. 

About the Trustee Investment Plan

Our Trustee Investment Plan is for Trustees of UK registered Occupational Pension Schemes and Self Invested Personal Pension Schemes (SIPPs). It allows Trustees to invest in our range of funds – to grow investments over the medium to long term (5 to 10 years or more).

Investments from SIPPs will be set up for a named individual – known as a “member designated” plan. Other UK registered Occupational Pension Schemes can also designate the plan to an individual. 

For member designated plans:

  • You cannot choose a PruFund Fund if the member is aged 98 or over.

Who can invest?

  • Trustees of UK registered Occupational Pension Schemes, including Small Self-Administered Schemes (SSAS) and deferred arrangements
  • Trustees of Self-Invested Personal Pension Schemes (SIPPs)

Contributions

  • Minimum initial investment: £200,000 for new Openwork SIPPs*
  • Minimum additional investment: £10,000
  • Additional investments will be set up as a new TIP

Maximum investment is normally £1,000,000. We may accept higher value investments on request. 

*Please note the minimum investment amount shown above is specific to new Openwork SIPPs. For existing SIPPs, the minimum investment is £20,000. 

Set-up

On receipt of the application form, funds and any further requirements it usually takes up to 5 working days for the application to be set-up. 

Fund Size Discount

Discounts are applied to the basic Annual Management Charges based on the size of the fund (Fund Size Discount):

Fund size AMC Discount 

Less than £100,000                                     

0.375%*                                              

£100,000 - £149,999

0.425%*

£150,000 - £249,999

0.475%

£250,000 – £499,999

0.500%

£500,000 – £749,999

0.525%

£750,000 - £999,999

0.550%

£1m and over

0.575%

 

*For existing Openwork SIPPs only

The discount to the AMC will apply to the whole of the investment , not just the portion above the threshold levels.

For more information on Fund Size Discounts see the Fast Facts Document (PDF) 

Withdrawals

Trustees can:

  • Cash in the plan at any time.
  • Take regular withdrawals from the plan, monthly, quarterly, six-monthly or annually (up to 100% of the original investment each year).
  • Take a partial withdrawal (providing the withdrawal exceeds £1,000 and £1,000 is left in the plan).

How the Trustee Investment Plan Works for income

Using Trustee Investment Plan for drawdown

A TIP can be used within a Self-Invested Pension Plan (SIPP) to meet a client's income drawdown requirements.

For example, a client with a SIPP could use TIP to provide their income drawdown payments. This allows the client to invest remaining funds within the SIPP or other investments that suit their needs and attitude to risk.

Investment information

Investing in PruFund to provide income

Within a TIP, funds can be invested in PruFund to help provide an income. The Net Expected Growth Rate (EGR) can help cover drawdown payments. 

The Trustee Investment Plan Modeller can help with calculations relating to income drawdown. 

Fund options

The Trustee Investment Plan (TIP) offers access to PruFund range of funds – which are managed by the M&G Treasury & Investment Office (T&IO), experts in asset allocation and multi-asset fund management. 

The Prufund range of funds:

  • offer smoothed returns that provide growth potential and which could help against the effects of inflation
  • offer an alternative option for medium to long term (5 to 10 years or more) investments to a trustee bank account that may be attracting low rates of interest
  • offer fund options that suit different attitudes to risk and objectives
  • provide a balance to higher risk investments in the Scheme

Charges

Annual Management Charge

We’ll take a charge every year for managing the plan and investments. The amount charged will depend on the funds your client invests in.

PruFund Funds: the AMC is deducted as a percentage of the units every month. Note that if a client has only invested in a PruFund Fund for part of a month, we still take a full month's charge 

Adviser Charges

The level and shape of Adviser Charging is agreed between you and your client.

  • Initial Adviser Charge: Maximum of 5% of the single premium or £30,000, whichever is lower. 
  • Ongoing Adviser Charges: Maximum 1% of the fund value.

Adviser charges must be in accordance with HMRC rules and will be tested to ensure they do not exceed the relevant limit for the TIP.

Find out more about adviser charging and limits in the Fast Facts document (PDF). 

Making it easier to do business with us

The introduction of a signatureless process removes the need for you to obtain a ‘wet’ signature from trustees for the following requests:

  • New Business
  • Withdrawal of Units
  • Adviser Charge Alteration (changes to OAC% only)
  • Fund Switch
  • Monetary Withdrawal
  • Change to Regular Income
  • Cancellation

However, we’ll only accept submissions of signatureless requests from one of the following:

  • Xafinity Pension Trustees Ltd
  • Embark Pensions

Available methods for submitting requests:

  • Regular electronic submission route or via the Customer Support team email fris.team@prudential.co.uk with confirmation that they are acting on behalf of the Xafinity Pension Trustees Ltd/Embark Pensions
  • Postal/hardcopy

How the process works

The table below sets out the process and any relevant further information for each type of application.

Service Request

PruAdviser Download Form

Request Via Letterheaded Paper

New Business Application

Yes

No

Withdrawal of Units

Yes

Yes

Adviser Charge Alteration (changes to OAC% only)

Yes

Yes

Fund Switch

Yes

Yes

Monetary Withdrawal

Yes

Yes

Change to Regular Income

No

Yes

Cancellation

Available on request

Yes

Authorised Person for Submission of Signatureless

• Xafinity Pension Trustees Ltd/Embark Pensions

 

• Xafinity Pension Trustees Ltd/Embark Pensions

 

Submission

• The email must clearly evidence that it is from the scheme trustee/administrator, for example it is from the company's email address and contains the company logo

• Complete Form

• Accompanying documentation

Then email via normal secure transfer or fris.team@prudential.co.uk

• The email must clearly evidence that it is from the scheme trustee/administrator, for example it is from the company's email address and contains the company logo

• Letterheaded Instruction

• Accompanying documentation

Then email via normal secure transfer or fris.team@prudential.co.uk

 

If you’ve completed a paper application, this along with any other requirements should also be emailed to us in the same way.

Confirmation of bank account details can be found here:

HSBC BANK

BACS/TT transfers:

Bank name and address: HSBC, 8 Canada Square, London E14 5XL

Bank sort code: 40-02-50

Bank account number: 41425587

Bank account name: PACL General Receipts Account

Quote the client name/Scheme name or our plan number if known as reference when sending the funds. –

Also the funds must be sent from the trustees’ bank account NOT from a personal account or the sponsoring employer’s account.

If you do have any further questions, please call us on 0808 100 3429 - we’re happy to help. From abroad you can phone us on (+) 44 1786 448844. We’re open 9.00am to 5.00pm Monday to Friday (apart from bank holidays). 

Alternatively email us at fris.team@prudential.co.uk

 

© Prudential 2025

"Prudential" is a trading name of Prudential Distribution Limited. Prudential Distribution Limited is registered in Scotland. Registered Office at 5 Central Way, Kildean Business Park, Stirling, FK8 1FT. Registered number SC212640. Authorised and regulated by the Financial Conduct Authority. Prudential Distribution Limited is part of the same corporate group as the Prudential Assurance Company. The Prudential Assurance Company and Prudential Distribution Limited are direct/indirect subsidiaries of M&G plc, a company incorporated in the United Kingdom. These companies are not affiliated in any manner with Prudential Financial, Inc, a company whose principal place of business is in the United States of America or Prudential plc, an international group incorporated in the United Kingdom.