For UK financial advice professionals only, not approved for use by retail customers. Click here for the customer website.

Prudential ISA

Combines tax-efficient investment with access to PruFund funds and a range of Open-Ended Investment Company (OEIC) funds.

Online services

Apply or manage client servicing
Login

Product documents

View all Prudential ISA documents
View key documents

Tools & Calculators

Direct access to the relevant tools & calculators
View tools

Overview

About the Prudential ISA

The Prudential ISA is a Stocks and Shares Individual Savings Account.

  • Managed for Pru by our partner Link Financial Investments Limited (LFI), who are now part of the Waystone Group.
  • LFI are the ISA Plan Manager and have all legal and regulatory responsibilities in relation to the management and administration of the product.
  • If your client takes out a Prudential ISA they'll have a contract with LFI and all correspondence will be from them. 
  • It's a digital product, therefore your client must provide their email address when applying for the product, and register for online access to ensure they can access their important documents.

Eligibility criteria

  • Minimum age: 18 years
  • Maximum age: no upper age limit
  • UK resident for tax purposes.
  • If your client is a Crown employee who is serving overseas, or married to, or in a civil partnership with, a Crown employee they may also qualify under the ISA regulations.

Product features

Features

  • Tax-efficient growth – no Income or Capital Gains Tax to pay on growth within the ISA.

  • PruFund funds – access to a range of seven PruFund funds provided through Life Insurance Policies by The Prudential Assurance Company Limited.

  • OEIC funds – access to a range of five Active and five Passive Risk Managed OEIC funds designed to meet different investment objectives and attitudes to risk, provided by Waystone Management (UK) Limited through a co-manufacturing and sponsorship agreement with Prudential Distribution Limited.

  • Regular payment options – invest from as little as £50 per fund by monthly Direct Debit, and be collected on any day between 1 and 28 of the month.
  • Single lump sum payment options – invest from as little as £500 per fund, £250 if topping up an existing fund holding, which can be paid by Visa Debit Card, bank transfer or cheque.

  • Transfer existing ISAs – transfer existing Cash and Stocks and Shares ISAs, with low minimum investments of £500 per fund, £250 it topping up an existing fund holding.

  • Regular withdrawal option – regular withdrawals of £50 per fund which can be paid monthly, quarterly, half-yearly or yearly on 5 or 20 of the month.

  • Full and partial withdrawal options – access money when required, with minimum partial withdrawals of £250 per fund.

  • Freedom to transfer – ability to transfer to another ISA provider at any time.

  • No fixed term – so your clients can invest for as long as they want.

Risks

  • Flexible ISA rules – the Prudential ISA isn't a flexible ISA, therefore your client won't be able to withdraw money and replace it within the same tax year without affecting their ISA allowance.

  • Regular withdrawals – a minimum of £500 must be maintained for any fund paying regular withdrawals. If a regular withdrawal were to take the value of the fund below £500 the regular withdrawal wouldn't be paid from that fund, therefore the amount paid to your client may be less than expected or they may not receive the regular withdrawal at all.

  • Transfer from another ISA provider – transfers to the Prudential ISA are normally paid as cash from the transferring ISA provider. This means your client will be out of the market between the point their existing funds are sold and transferred and when the transfer is invested in their Prudential ISA.

  • Tax treatment – although ISAs currently enjoy favourable tax treatment, it’s possible this could change in the future.
  • Delays to full and partial withdrawals and transfers out – if invested in PruFund funds, there may be circumstances where the selling of these funds may have to be delayed to protect the With-Profits Sub-Fund, and therefore the interests of all its with-profits policyholders and shareholders. Further information can be found in the Master Insurance Agreement (Customer version).

  • Value of investments - the value of your client’s investments could go down as well as up. They may not get back what they have paid in.

  • Impact of inflation – inflation will affect the value of the money your client gets back.

  • Charges – if the total of charges and costs are higher than the investment growth, your client's plan will fall in value. Charges may also increase in future.

  • Cash account or cash investment – your client won't have access to a Cash Account or a Cash type investment, therefore their money will remain invested whilst it's held in their Prudential ISA.

Tools & Calculators

ISA Costs and Charges Calculator

Use this calculator to crunch the cost and charges information on your client's proposed PruFund and/or Risk Managed OEIC investments to allow you to produce your MiFID II cost and charges disclosure.

Inflation Modeller

This modeller allows you to demonstrate the impact of inflation on your client’s investment and cash holdings over a set time period. It also demonstrates the overall returns achievable before and after inflation is taken into account.

Fund performance, factsheet and charting tool

Find out which funds we offer - together with fund factsheets, performance information and more.

Investment options

The Prudential ISA offers a range of:

  • Seven PruFund funds which are provided under Life Insurance Policies by The Prudential Assurance Company Limited.
  • Five Active and five Passive Risk Managed OEICs provided by Waystone Management (UK) Limited through a co-manufacturing and sponsorship agreement with Prudential Distribution Limited.

PruFund range of funds

Aim to grow your client’s money over the medium to long term (5 to 10 years or more), while protecting them from some of the extreme short term ups and downs of direct stock market investments by using an established smoothing process.

Key Information Documents

These documents are provided for the products listed below and the funds that are available to new investors through these products.

Risk Managed Active Funds

  • Is a range of funds to meet different needs for risk and reward
  • Is a fully-diversified actively managed fund option

Charges & costs

The Annual Management Charge (AMC) is taken for looking after your client’s investments in their Prudential ISA:

  • PruFund funds – each PruFund fund available in the Prudential ISA has its own AMC which is taken by deducting a percentage of your client’s PruFund units each month. A discount may apply to your client’s PruFund funds depending on the total value of PruFund funds held in their Prudential ISA. See Fund Size Discount section below for more information.
  • Risk Managed Active and Passive OEIC funds – the ongoing charge, which includes the AMC, is taken daily from the fund and is reflected in the fund’s daily price.

Further information on the charges and costs for each fund available in the Prudential ISA can be found in the Fund and Charges guide in the Key documents section above.

You should also refer to the appropriate Key Information Document and Investment Option Document which you can access in the PruFund range of funds part of the Investment options section above. 

For Risk Managed OEIC funds, you should refer to the appropriate Key Investor Information Document which you can find in the Risk Managed Active Funds and Risk Managed Passive Funds parts of the Investment options section above.

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 available in the Prudential ISA can be found in the Fund and Charges guide.

You should also refer to the appropriate Key Information Document and Investment Option Document which you can access in the PruFund range of funds part of the Investment options section above.

For the Risk Managed OEIC funds, you should refer to the appropriate Key Investor Information Document which you can find in the Risk Managed Active Funds and Risk Managed Passive Funds parts of the Investment options section above.

We apply Fund Size Discounts on the Annual Management Charge (AMC) taken from PruFund funds held in your client's Prudential ISA.

The discount is calculated based on the total value of your client’s PruFund funds held in their Prudential ISA, and that discount applies to each of their PruFund holdings. 

The net AMC, after accounting for any Discount, is then applied to the value of each of your client’s PruFund holdings to calculate the number of units to cancel from each PruFund fund. The Discount, and the resultant AMC that is applied to each PruFund fund, is shown in the table below.

Total value of PruFund funds held in your client’s Prudential ISA Fund Size Discount Resultant AMC

PruFund Cautious Fund

PruFund
Growth &
PruFund Risk Managed
1-5 Funds

£0

to

£99,999.99

0.00%

1.03%

1.06%

£100,000

to

£249,999.99

0.05%

0.98%

1.01%

£250,000

to

£499,999.99

0.10%

0.93%

0.96%

£500,000

to

£749,999.99

0.15%

0.88%

0.91%

£750,000

to

£999,999.99

0.175%

0.855%

0.885%

£1,000,000+

0.20%

0.83%

0.86%

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

There are two types of Adviser Charges that can be facilitated in the Prudential ISA:

  • Initial (Set-up) Adviser Charge:
    • on a regular contribution: deducted from a set number of regular contributions agreed between you and your client. The amount is deducted on receipt of the regular contribution with the balance paid into your client’s Prudential ISA*.
    • on a single contribution: deducted from the single contribution on receipt with the balance paid into your client’s Prudential ISA*.
    • on a transfer payment: deducted from the transfer payment on receipt with the balance paid into your client’s Prudential ISA and invested according to their investment instructions.
  • Ongoing Adviser Charge: taken at plan level, and deducted proportionately from each of your client’s investments in their Prudential ISA.

* This means only the amount invested in your client’s chosen investment(s) counts towards your client’s ISA allowance.

Please note there are maximum limits on the level of Adviser Charges that can be facilitated in the Prudential ISA. Find out more about Adviser Charging in the Fast Facts document for the Prudential Investment Plan.

Online support

Have you already registered for online access?

Do you have Prudential ISA customers but not yet registered for online access?

Contact Link on 0344 335 8936 (option 1, option 2). They'll then arrange for registration emails to be sent to you.

Haven’t carried out business with Link before?

Send an email to prudential@linkgroup.co.uk providing your adviser details (also requesting access to the new online service).

Prudential ISA Online Service - Support Staff Solution

The Prudential ISA Online Service provides a Support Staff Service allowing you to set up access for your Paraplanner / Admin Staff to act on behalf of advisers within your firm. Once access has been agreed and set up by the ISA Plan Manager, your authorised Support Staff users will be able to do everything an adviser can do through the Prudential ISA Online Service.

If the Support Staff Service is something you’d like to set up for your Paraplanner / Admin Staff please contact your Prudential Account Manager.

The ISA Plan Manager has produced a number of documents to help you understand what the service is and how it works, along with some handy FAQs to refer back to for guidance once the service has been set up. Use the documents below to help discussions with your Prudential Account Manager.

Servicing support

The Prudential ISA and the Prudential ISA Online Services are provided by the ISA Plan Manager, Link Financial Investments Limited (LFI).

The Prudential ISA Online Services allows you to process the majority of ISA business online on behalf of your client without the need for sending a signed client declaration.

In the sections below, we detail if the process must be submitted online or through a paper application. Where a paper application is required, the completed and signed form can be scanned or photographed and sent to LFI at fsuk-businessadmin@linkgroup.co.uk.

If a process is online only, and your client does not fall under any exception scenarios detailed for the relevant process, the ISA Manager will reject any paper applications submitted and you will be required to then process the request through the online service.

All new Prudential ISA applications must be submitted through the online service, unless your client:

  1. has a power of attorney
  2. has a deputy appointed by the Court of Protection
  3. is resident overseas
  4. is switching (Bed and ISA) of WS Prudential Risk Managed OEICs held directly with Waystone Management (UK) Limited to a new Prudential ISA
  5. is transferring an Additional Permitted Subscription Allowance (APS) as part of a new Prudential ISA application

If a single contribution is being paid from the surrender of funds from your client’s Prudential Onshore Bond, see Important Information – Prudential Onshore Bond to Prudential ISA subscriptions below.

 

The following must be updated online:

  • Registered address
  • Email address
  • Contact telephone details
  • Bank details

  • Setting up of a regular contribution
  • Paying in a single contribution
  • Transfer from another ISA Providers in

These must be submitted online, unless your client:

  1. has a power of attorney
  2. has a deputy appointed by the Court of Protection
  3. is resident overseas

If a single contribution is being paid from the surrender of funds from your client’s Prudential Onshore Bond, see Important Information – Prudential Onshore Bond to Prudential ISA subscriptions below.

This process is not available online.

 

  • Set up or amend an existing regular withdrawal
  • Request a partial or full withdrawal

These processes must be submitted online. Offline paper application process is not available.

 

  • Start ongoing adviser charge
  • Stopping an ongoing adviser charge
  • Amending ongoing adviser charge

These processes must be submitted online. Offline paper application process is not available.

 

This process is not available online.

 

Other guides provided by the ISA Plan Manager.

 

Online services

Apply or manage client servicing

Login