The offshore bond, which is provided in ‘partnership’ with Isle of Man-based Royal London 360°, is an investment-linked whole of life assurance policy. It has an internal fund range and ‘customised selection’ range offering access to UK funds, investment trusts and cash deposits.
Clients can also appoint themselves investment manager or access a range of discretionary managers.
The bond also allows up to six lives assured and offers access to a full range of trusts, including the new excluded property structure.
This trust is designed for non-UK domiciled individuals, who can use it to shelter non-UK assets from inheritance tax.
Chris Allat, senior tax consultant for Sanlam UK, said: “It is a discretionary trust that allows one or two individuals to nominate a person or persons who may benefit from the trust and which may be changed to suit the changing circumstances of the settler or settlors.”
He added the settlor may also be a beneficiary under the trust.
Merchant Investors said the offshore bond featured a range of commission options and a minimum investment of £50,000, with a monthly deducted annual administration charge of 0.4%.
Herman Sandrock, head of sales and marketing at Merchant Investors said the launch of the offshore bond completed the company’s insurance product-based offering.
