Norwich Union International has introduced the second in a series of solution-based campaigns aimed at simplifying offshore investment for independent financial advisers and investors.
Norwich Union International has introduced the second in a series of solution-based campaigns aimed at simplifying offshore investment for independent financial advisers (IFAs) and investors.
The new campaign "Solutions for corporate investors" provides corporate investors with an alternative solution to deposit-based investments.
According to the British Bankers Association fourth quarter statistics, small and medium-sized enterprises held almost £40bn on deposit in 2003. However, with business accounts attracting low rates of interest many companies are considering longer-term investments with some risks and better potential for their cash reserves.
The campaign will focus on Norwich Union's International Core Funds Bond, and particularly on the capital redemption option. The capital redemption option allows increased control over the timing and in some cases the rate, at which corporate investors pay tax on any growth on their investment.
The International Core Funds Bond is a lump sum investment bond with a minimum investment of £10,000, €15,000 or $15,000. It aims to increase the value of money invested in a potentially tax-efficient way, over the medium to long term - at least five years. Its investment funds have different levels of risk and their value can go down as well as up and is not guaranteed.
It is available on a life or capital redemption basis. The life version, with no fixed term, has lives assured. The capital redemption version, with a 99-year term, has no lives assured, making it particularly suitable for corporate investors.
As part of the campaign, a comprehensive sales pack has been developed to assist IFAs in targeting this growing market. The new pack contains detailed materials such as brochures, technical guides, prospecting material and sales aids.
Paul Sherlin, marketing director at Norwich Union International, said: "We see the corporate market as offering tremendous growth potential for medium to long term investments and the new pack is aimed at supporting IFAs in realising that potential.
"There is sometimes confusion as to whether an offshore or onshore bond represents the best option for a client but for corporate investors the position is much clearer. With our new International Core Funds Bond we now have a more attractive product for this market. Its capital redemption option means increased control over when the bond can be cashed in. The wide range of investment sectors will allow IFAs to target companies looking for a longer-term investment solution rather than just beating cash over the next few months."
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For further information:
Norwich Union International
Mike Gogan
00 353 1 802 8415
Financial Dynamics
Christine Wood
020 7269 7253
Notes to editors:
About the Norwich Union International Core Funds Bond
- Offers a carefully select choice of funds from the most popular fund sectors, all within one bond.
- Is simpler and more flexible - offering a select choice of internal and external unit linked and with-profit funds.
- Investors have the option to create their own risk portfolio or use Investment Management Selection (IMS) Fund of Funds as an alternative.