Friends Provident Int launches new IHT bond

Friends Provident International (FPI) strengthens its offshore product range with the launch of the Succession Planning Bond.

FPI says the Succession Planning Bond's combination of investment choices, together with the trust options will appeal to advisers who have clients looking for a flexible method to mitigate their IHT liabilities.

"The Succession Planning Bond is designed to plug a gap that Friends Provident International has identified in the investment market. The flexible offshore bond offers investors the ability to preserve their accumulated wealth enabling them to transfer their wealth to future generations in a tax efficient manner. This facility will appeal to a wide range of clients and will offer a competitive range of investment choices," says Irvine Baxter, UK Sales Director at Friends Provident International

The bond offers investors four ways to potentially reduce their liability to IHT and, at the same time, shape their own and their family's financial future.

The trust choices available are, in both absolute and discretionary versions and include a loan trust, capital access trust, gift and discounted gift trust.

The bond also has a life cover option (whole of life) which offers the flexibility to include up to ten people as 'lives assured' and could include beneficiaries. There is also a guaranteed maturity value option (capital redemption) that guarantees to pay a minimum of two times the initial investment subject to terms and conditions.

"I believe that the choice of a capital redemption bond and lives assured, with discretionary and absolute trusts, together with full open architecture and discretionary managed investment options make the Succession Planning Bond unique in the market," adds Baxter.

For further information advisers should contact their FPI regional sales manager or visit www.fpinternational.com.