Thursday, 17 October 2013 17:15
AXA Wealth International boosts investment choices for clients
A new offshore investment service marketed by AXA Wealth International, named DelegationTM, will give investors access to a much broader range of asset types, including: collective investment schemes, equities, government and corporate debt and derivatives.
In recent years AXA Wealth International says that the UK offshore bond market has witnessed strong growth in the discretionary fund management (DFM) channel as advisers and their clients have outsourced investment strategy and management. The extended investment capability of DelegationTM allows discretionary fund managers to invest in line with their standard portfolio management practices and maintain consistent mandates across all wrappers, including Sipps and offshore portfolio bonds.
Simon Willoughby, head of proposition, AXA Wealth International, said: "The way in which advisers and their clients are investing is continually changing and as a provider we need to adapt to meet these needs. The launch of DelegationTM represents one of the most significant new product developments in the UK offshore market for several years and we believe it signposts the next phase in the evolution of the offshore portfolio bond. In combining the tax deferral benefits of a conventional portfolio bond with access to broader asset choice, DelegationTM has the potential to open up a much wider client base for the offshore portfolio bond."
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The new bond, which is distributed through AXA Wealth International's Dublin jurisdiction, is a single premium, life assurance investment bond that provides advisers and their clients with access to flexible adviser remuneration through the Flex/ChargeTM* service. The bond allows advisers to set investment objectives based on their client's attitude to risk and is managed on a fully discretionary basis. However, for DelegationTM to retain its UK tax-compliant wrapper status the policyholder must not be able to select or influence the choice of the assets held in the bond.
Mr Willoughby added: "By allowing the bond to be taxed like a usual offshore bond while investing in assets other than mutual funds and deposit accounts, we are giving customers greater asset diversity options managed by investment management experts. The flexible investment structure can adapt to investors changing financial needs, supporting them through different life stages."
In recent years AXA Wealth International says that the UK offshore bond market has witnessed strong growth in the discretionary fund management (DFM) channel as advisers and their clients have outsourced investment strategy and management. The extended investment capability of DelegationTM allows discretionary fund managers to invest in line with their standard portfolio management practices and maintain consistent mandates across all wrappers, including Sipps and offshore portfolio bonds.
Simon Willoughby, head of proposition, AXA Wealth International, said: "The way in which advisers and their clients are investing is continually changing and as a provider we need to adapt to meet these needs. The launch of DelegationTM represents one of the most significant new product developments in the UK offshore market for several years and we believe it signposts the next phase in the evolution of the offshore portfolio bond. In combining the tax deferral benefits of a conventional portfolio bond with access to broader asset choice, DelegationTM has the potential to open up a much wider client base for the offshore portfolio bond."
{desktop}{/desktop}{mobile}{/mobile}
The new bond, which is distributed through AXA Wealth International's Dublin jurisdiction, is a single premium, life assurance investment bond that provides advisers and their clients with access to flexible adviser remuneration through the Flex/ChargeTM* service. The bond allows advisers to set investment objectives based on their client's attitude to risk and is managed on a fully discretionary basis. However, for DelegationTM to retain its UK tax-compliant wrapper status the policyholder must not be able to select or influence the choice of the assets held in the bond.
Mr Willoughby added: "By allowing the bond to be taxed like a usual offshore bond while investing in assets other than mutual funds and deposit accounts, we are giving customers greater asset diversity options managed by investment management experts. The flexible investment structure can adapt to investors changing financial needs, supporting them through different life stages."
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