The Prudential Onshore Portfolio Bond combines the advantages of a wide choice of assets from a platform with the taxation and trust benefits of an onshore bond.
If your client invests in this product they should read our Key Information Document, relevant ‘Investment Option Document(s)’ or Fund Manager's own Key Investor Information Document(s) as appropriate. Please note that if the fund manager is not Prudential, your client will need to source these documents from the fund manager directly. These include important information which may help them make up their mind.
The impact of taxation (and any tax reliefs) depends on your client’s individual circumstances.
Please remember that the value of investments can go down as well as up, your client may not get back what they have paid in.
The Prudential Onshore Portfolio Bond combines the advantage of a wide choice of assets from your client's chosen platform with the taxation and trust benefits of an onshore bond.
With access to a wide range of investment choices, the Bond aims to increase the value of your client's investment over the medium to long-term (at least 5-10 years).
It’s a single premium, whole of life insurance product, allowing your client to start their Bond with a single payment of £15,000. The minimum top-up payment is £2,500. Both limits are before the deduction of any Set-up Adviser Charge, if applicable.
The Bond has no investment term and no exit charge if your clients decide to cash it in.
Download the Key Features Document (PDF) for more information.
This is where any cash balances are held in the Bond. The cash account is used to buy assets for the Bond, receive cash income from assets, meet Bond charges, any regular or one-off withdrawals and Adviser Charges.
For more information on the Cash Account see our fast facts document (PDF).
No maximum applies although premiums in excess of £10 million will require additional due diligence.
See the Key Features Document (PDF) for more information.
The Prudential Onshore Portfolio Bond offers a choice of trust, your client can select which one better suits their circumstances. The Bond can also facilitate investment by existing trusts.
Choice of trust:
See the Prudential Trust and Application Form Tool for more information.
All assets are held on the chosen platform.
The premium will initially be invested in the Cash Account in the Bond which the Adviser, client or Discretionary Fund Manager can reallocate to purchase the chosen Assets.
There is a wide range of fund and asset choice available, which your client can manage on their chosen platform. Typically, these include assets such as:
* SICAVs are European Collective Investments similar to OEICs.
**UCITs is a generic term for funds that meet certain regulatory requirements and can be sold in any European Union country.
Your clients platform may offer access to a managed portfolio of assets.
These portfolios may be managed by a Discretionary Fund Manager (DFM), who on an ongoing basis, choose the investments within the managed portfolio.
For further details on how your client's Bond assets are managed download Prudential Onshore Portfolio Bond - fast facts (PDF).
Switching funds is a straightforward process:
* This will depend on the terms agreed between the platform and the fund manager. In addition the platform may set a minimum holding in a particular fund.
The main charges will be:
For more information on the standard charges & costs deducted and where you can go to get further information please refer to the Product Charges.
The following charges can be taken from the bond:
Bond charges are reviewed annually. From time to time, we may introduce new charges as a result of a levy or a charge imposed on the company. For more information on charges, download Prudential Onshore Portfolio Bond - fast facts (PDF).
The Yearly Total combines the Annual Management Charge and further costs deducted from an underlying Asset by the investment management organisation where that Asset is held in the form of units or shares in investment funds. The Initial Charge is applied to an underlying Asset which is held in the form of units or shares in investment funds, and where the Asset has different buying and selling prices.
For more information on charges, view our Prudential Onshore Portfolio Bond - fast facts (PDF) document.
There are three main types of Adviser Charging.
Ongoing and Ad-hoc Adviser Charges are treated as withdrawals from the Bond and will count against the 5% tax-deferred allowance.
The Prudential Onshore Portfolio Bond facilitates a range of Ongoing and Ad hoc Adviser Charging options available through the platform. Prudential International Assurance plc, UK Branch can facilitate Set-up Adviser Charges.
For more information on Adviser Charging, download the Prudential Onshore Portfolio Bond - fast facts (PDF) document.
Investment bonds offered by Prudential International are normally affected as single assurance life policies and have different tax treatments from other types of investments.
The plan comes with a small amount of life cover and will pay out a lump sum when the person, or people, covered dies. The Bond can be written on a single life, joint life first death or a joint life last death basis.
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"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 Limited. The Prudential Assurance Company Limited and Prudential Distribution Limited are direct/indirect subsidiaries of M&G plc which is a holding company registered in England and Wales with registered number 11444019 and registered office at 10 Fenchurch Avenue, London EC3M 5AG, some of whose subsidiaries are authorised and regulated, as applicable, by the Prudential Regulation Authority and the Financial Conduct Authority. 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.