Platinum Bond Plus explained
Platinum Bond Plus is our with-profits investment that offers you the potential to grow your money over the medium to long term. You can invest lump sums whenever you wish, there is no fixed term, and you can take a regular income if you need to.
What is a with-profits investment?
With-profits investments provide growth and/or income by investing in a range of ‘assets’ including stocks and shares, property, bonds, gilts and cash.
They are different to ordinary funds because the ‘profits’ of the investment are spread over time to ‘smooth out’ the ups and downs associated with stock market investments.
This means that the investment risks are reduced in a with-profits fund compared with directly investing in stocks and shares.
The profits earned from the with-profits fund are partly distributed as bonuses to you on each anniversary of your investment.
Platinum Bond Plus main features at a glance:
- A with-profits investment that softens the effect of the ups and downs of the stock market
- Returns are ‘smoothed out’ and paid as bonuses (ie ‘profits’) which you receive on each anniversary of your investment
- You get a guaranteed amount of annual bonus in the first year as well as a special first anniversary bonus depending on how much you invest
- You then receive annual bonuses and a final bonus when you cash-in, but these are not guaranteed after the first year
- No fixed term
- If you want to supplement your income, each year you can take up to 5% of what you invested as regular income with no immediate tax liability.
Suitable for:
- Cautious investors who can put away savings for 5 years or more but do not want to be directly exposed to the full volatility of stock market movements. Please note that an MVR (Market Value Reduction) may apply in certain circumstances.
- Those seeking growth, income or a combination of both.
