Wealth Preservation Trust

• Funds

  Access an almost unlimited range of investment funds. With thousands of funds available, the investments can be tailored to meet specific needs and goals.

  Our governance team is on-hand to check that the chosen investment choices meet our acceptance guidelines. We’ll generally accept authorised unit trusts, approved investment trusts, OEICs, REITs and non-UK authorised collective investment schemes. Hedge funds will be considered on an individual basis.

• Cash deposits

  We offer a range of instant access and fixed-term deposit accounts from a wide selection of banks and building societies.

  See our latest cash deposit rates.

• Platforms

  We have agreements with a wide range of platforms to provide fund administration, custody and execution-only services. The investment assets can then be managed through each platform. For extra flexibility, multiple platforms can be used at the same time.

  See our list of platforms.

• Discretionary fund managers

  A discretionary manager can be appointed to advise and make investment decisions. We have relationships with a wide range of discretionary managers, as well as many boutique and specialist firms. For extra flexibility, the investment can be spread across multiple discretionary managers.

  See our discretionary fund manager list.

• Segregated Portfolio Service

  When you take out one of our Wealth Preservation accounts, you have the option to use our Segregated Portfolio Service. This service gives you access to our widest range of investment opportunities. Get direct access to equities and gilts, where you can benefit from the investment manager’s stock selection expertise.

  This service is only available through an investment manager that we have an agreement with.

  Explore our Segregated Portfolio Service.

Also worth knowing

• When can payments be made to the settlor?

  Payments to the settlor are made through maturing policies. Each maturity date must be on a policy anniversary and should be staggered over a number of years.

• Is the VAT treatment of discretionary management fees different for the two accounts?

  Both accounts have different VAT treatments:

  Wealth Preservation Europe Account

  The Irish Revenue Commissioners have confirmed that discretionary fund management services are not chargeable to VAT under the Value Added Tax Consolidation Act 2010. As long as the assets being managed are classed as a pooled fund portfolio bond and not a highly personalised bond. 

  Wealth Preservation Account

  VAT is usually chargeable on discretionary fund management fees. The exact status of VAT depends on the service being provided and who it’s being provided to. As an adviser, you’ll need to make sure that you’re satisfied with the final VAT position.

• Can you add investments to the policy at a later date?

  No, the underlying policies can’t accept any more investments. You can pay more money into the trust, although this can only be held for the beneficiaries and cannot be used to give reversionary payments to the settlor.

• What happens when the settlor dies?

  The policies will continue if there’s a younger life assured. In this case, the trustees can either allow policy maturities for the beneficiaries, or they can defer the maturity dates. The latest date it can be deferred to is the policy anniversary before the 101^st birthday of the youngest life assured.

  The trustees can then decide if and when they want to appoint the policies to the beneficiaries, or surrender the policies and distribute cash.

• Can the settlor be a trustee of the discretionary trust?

  Yes, a settlor can be a trustee of the discretionary trust.