Norwich Union – the UK’s largest life insurer – has announced the introduction of 57 external funds to its comprehensive range of investment bonds.
Norwich Union – the UK’s largest life insurer – has announced the introduction of 57 external funds to its comprehensive range of investment bonds.
Designed to meet individual investor needs regardless of investment objective or attitude to risk, the latest improvements will help IFAs offer clients extra flexibility and greater choice. Managed by 12 of the industry’s leading asset managers, the choice of funds available will include index trackers, managed funds, fixed interest, UK and international equity, specialist equity and specialist managed. For the first time investors will have access to reputable, high quality external fund managers*, through the convenience of a Norwich Union bond wrapper. The new funds will be made available to any client who has invested in the Portfolio Bond and FlexiBond since 2nd October 2000 and any Bond 2000 investor since 25th June 2001.
Julie Chong, head of investment propositions, Norwich Union, said: "The availability of high calibre external funds through Norwich Union bonds will allow us to offer a wider range of flexibility in investment than has previously been available. The benefits of being able to access a total of 86 funds with varying investment styles are available to both new and existing customers alike.
"For IFAs, the increased flexibility combines the scope to manage a client's investment portfolio with the convenience of a single investment bond. Through the introduction of these external funds, we are now able to provide a convenient way to switch between funds and fund managers without incurring the tax disadvantages of encashment."
Christopher Cade, assistant director at Baring Asset Management, commented: "Having access to a substantial number of fund managers allows a client to cherry pick, providing a route to the best of the best. No single fund manager can be good at all things at all times. This approach allows a client to select a group or manager for a particular area of expertise and provides your clients with greater flexibility - switching is easier, quicker, usually cheaper as well within one single umbrella.
"In addition, a client does not need to have the administrative burden of monitoring a variety of funds from different managers. If a fund underperforms, a client can again switch as above."
Piers Denne, director of third party sales at Threadneedle Investments, added: "Having such excellent funds available will undoubtedly increase the appeal of Norwich Union's bond products, and help make them even more attractive to investors."
To ensure that the funds offered by Norwich Union demonstrate investment performance, investment skill and management excellence, the funds chosen have been assessed by Standard & Poor, the world’s leading credit rating agency, using its fund rating system to identify top- performing funds.
Alongside the launch of the external funds, Norwich Union is also expanding the fund range on the Bond 2000 to include ALL of the funds already available on the Portfolio Bond and FlexiBond. This means that IFAs and clients no longer have to choose between a simple charging structure or a wider fund range. In addition, the number of funds available for investment will also be expanded to allow clients to take full advantage of the increased fund range.
Policyholders will be able to choose to invest in up to 10 funds at any one time. Also, should their financial circumstances change, policyholders will also have four – an increase from one – free switches per year to easily change their investment to suit their needs. If further switches are required then this is also possible, at a cost of Ł25 per switch.
For more information please contact Norwich Union on 01904 452634, or visit the Norwich Union website at www.norwich- union.co.uk/ifa
-Ends-
* The following external fund managers are available through the Norwich Union range of investment bonds:
Aberdeen Asset Management
Baring Asset Management plc
Deutsche Bank
Gartmore Investment Management
INVESCO
Investment Management Selection (IMS) Limited
JP Morgan Fleming Asset Management
M & G Investments
Merrill Lynch
Schroders
SocGen Asset Management
Threadneedle Investments
Notes to editors
- Norwich Union’s news releases are available on this website
- A selection of images are available from the CGNU Newscast site at www.newscast.co.uk
- An ISDN facility is available for studio quality interviews. Call the press office on 08703 666873
- The new funds will be made available to any client who has invested in the Portfolio Bond and FlexiBond since 2nd October 2000 and any Bond 2000 investor since 25th June 2001.
- The value of an investment can go down as well as up and is not guaranteed. Full written details are available on request.
For all life & pensions media enquiries 08703 66 68 73
For all other media enquiries 08703 66 68 68
Press office contacts:
James Evans 08703 66 68 78
Out of hours 07790 487105
Louise Goffee 08703 66 68 70
Out of hours 07810 057362