The Institute of Financial Planning sponsor’s ‘Ascentric Offshore Bond’ will complement the four existing offshore bonds available on its wrap platform.
Ascentric, which is owned by the Royal London Group, will use various Royal London 360° trusts with the bond.
These will include the Select Discounted Gift Trust which helps to reduce the value of an individual’s estate for UK Inheritance Tax purposes.
Due to the product being administered on the platform’s gross nominee service, income is distributed on a gross basis to avoid the need for any party to reclaim tax on the client’s behalf.
Mike Morrow, Ascentric sales and marketing director, said he expected ‘significant’ demand for the bond.
He said: “The launch of this bond adds further breadth to our proposition and means advisers can offer their clients a cost effective offshore bond from a leading provider through our technology solution.
“Given the adviser feedback to date, we expect demand to be significant for this product.”
Alan Blackburne, head of UK sales at Royal London 360°, said: “I am delighted that we will be working with Ascentric in administering the Ascentric offshore bond.
“This product provides a flexible investment proposition for financial advisers and their clients, particularly with the added benefits of access to our tax and trust expertise and Ascentric’s technological expertise.”