Distribution Bonds
What is a Distribution bond? Click here for your online illustration
A lump sum investment in a Distribution life fund. The fund will normally include equities, fixed interest investments such as corporate bonds and gilts as well as property and cash. The fund will generally pay out the income from investments held instead of reinvesting them within the fund.
What are the risks?
Distribution bonds
are suitable for cautious/medium risk investors who require an income and/or those higher risk investors who require a lower risk element within their portfolio of investments.
Who are they useful for?
Investors who are currently higher rate taxpayers requiring a regular income and who will be basic rate taxpayers when the distribution bond is encashed.
Advantages
No direct personal tax charge on withdrawals or distributions from the distribution bond for basic rate taxpayers. Higher rate taxpayers may be able to defer or avoid the tax charge in certain circumstances.
Disadvantages
You are not certain to make a profit and you may lose money. You may not get back the full amount invested in your distribution bond.
CLICK HERE
for your online distribution bond illustration
You will be asked for some basic personal information (which we will not share with anyone else). After you have obtained your example quote, if you think that you may be interested in this type of product, please contact us on 0800 458 3525 to speak to one of our Independent Financial Advisers for advice.
You will not be able to purchase any of these products directly from the website as these products are complex and we would wish to ensure that you have the correct advice and only buy a product that is suitable for your circumstances. There will never be any pressure to buy through us.
Please note that not all the providers we use are available online at the moment. We would strongly recommend that you contact us on 0800 4583525 or click on the button at the top of the page for one of our fully qualified and experienced Independent Financial Advisers to talk to you about these products.