The Capital Preservation Bond is a single premium bond, which features the following characteristics:
Annual profit lock-ins within the profit distribution fund, advised by a world, renowned capital management company.
Simple charging structure: 1.5% Annual Management Charge (AMC) - NO establishment or service fees.
Annual bonus units, which help offset the AMC.
Profit Distribution fund
The Capital preservation bond will be linked to the profit distribution fund, which is a tailor-made, multi-manager, investment vehicle structured and advised by a world, re-nowned capital management group with the following key features:
100% Capital Guarantee provided by Societe Generale (Moody's Aa3, Standard and Poor AA-)
Unlimited growth potential from annual coupons equal to 80% of the performance of the underlying multi-manager fund.
Enhanced returns through 125% straight exposure throughout the term of investment.
Profit Distribution fund - objective
The funds objective is to provide access to a well-diversified portfolio of hedge funds that is able to generate equity-like returns while maintaining bond-like volatility, without any correlation to the stock or bond market.
In order to achieve this objective the capital management group adopts a well-defined methodology that enables the allocation team to identify Fund Managers capable of producing positive performance without being affected by variations in market conditions.
The Capital Management Group has a selected portfolio of hedge fund managers that offers the investors the highest possible risk adjusted returns while adhering to strict risk parameters laid down under the terms of the guarantee.
The portfolio has the ability to provide a coupon distribution every year based upon a performance, non-correlated to global stock markets.
The portfolio is monitored on a daily basis and re-evaluated on a monthly basis to ensure optimal allocation.
Recommended as a medium term investment, be prepared to hold the fund for the full investment term of 8 years and 1 month. Cashing in all of the investment before the term is up may not yield the original investment back in full.
If you are not resident in the UK for UK tax purposes, you may not be liable to UK income tax, but you should check the rules in your country of residence.
For UK residents, your profits will be subject to income tax. However, if you are not domiciled in the UK, a UK tax liability will only arise if you remit your returns into the UK.
BEST ADVICE: If in any doubt, seek professional financial and tax advice and always read any small print carefully to make sure you understand any investment properly.
Our financial feature continues with further information from Belgravia InterVest Group. If you have any queries on any fiscal matter please email to firstname.lastname@example.org or if you wish call Mark Bullen on 626 787 160. All your questions will be answered and may be published if thought to be of interest to other readers. Of course, all identities are kept strictly confidential.