Investment Bonds
Investment bonds provide a way to invest in a range of funds managed by professional investment fund managers. They are sold by life insurance companies and have the aim of either producing long term capital growth, or generating an income.
Each fund holds a portfolio of assets, often shares or corporate bonds. Movements in the value of these assets are reflected in the price of your investment.
Investment bonds are single premium life insurance policies. This means that there is a small element of life insurance within the investment bond. It is only very small adding about 1 per cent to the value of your investment, if it is paid out after your death.
Tax on the income and any capital growth is paid by the bond provider.
- Investors do not pay capital gains tax on any gains
- Investors do not pay basic rate income tax on any income
Higher rate taxpayers may become liable to further tax but not until they cash it in or make a withdrawal of over 5 per cent of their original investment in any year.
Investment bonds are a great way to invest for people in a number of different situations.
UK Investment Bonds
| Provider | Product | Income/Growth Range
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More Info |
|---|---|---|---|
| Click More Info on the product you like the most! | |||
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Zurich Sterling Bond 5 Year bond with 80% capital protection on day one which increase as the value of the fund grows. |
Variable% |  |
 |
Liverpool and Victoria Invest in a stockmarket related product with the ability to switch between three 'ready made' fund options |
Variable% | |
 |
Metlife Income for Life Investment Bond The Met Life Secure Income Option enables you to take a guaranteed income of up to 5% for life regardless of market conditions. |
3.74 to 5.00% | |
 |
Aegon Secure Income Option Guaranteed income of 5% for 20 years that won’t ever go down, no matter what happens in the markets. |
5% | |
Checking the terms and conditions
With all types of investments, we recommend that you carefully check the detailed terms and conditions so you fully understand what you are signing up for. Where you are looking to make a significant investment and are not clear what is best for you, we recommend you speak to an expert.
To speak to a qualified investment bond adviser by please fill out the form below for a no obligation call back.