This year inheritance tax (IHT) has really started to make an impression on consumers. Research conducted on Friends Provident's behalf by MORI in September 2004 shows that at least 85% of those surveyed are aware of IHT issues.
The main causes of increased consumer awareness are, more than likely, the continuing rise in house prices across the UK coupled with increased consumer press coverage. This is, in part, thanks to the efforts made by FRIENDS® and our peers to highlight the increasing number of people that will be affected by IHT. All of this has brought IHT planning to the forefront of consumers’ minds. If the IHT market is something you have never really got into, then maybe now is the time?
You will probably find many of your existing clients have an IHT planning need. Of course effective IHT planning is not just of benefit to your clients. There are plenty of opportunities for you that could arise as a result of this activity.
A relationship with a customer for their IHT planning needs will generally be a long-lasting one. Throughout this relationship you could be introduced to more potential new clients and possible sales opportunities that may otherwise have gone untapped, such as family and friends. For example, beneficiaries may need advice on how to invest their inheritance once the client dies. You would also have dealings with the clients’ trustees who may require your services to build a cautious portfolio of investments to ensure they maintain their duty of care to the beneficiaries.
IHT planning may involve the services of a solicitor. You could find working with a solicitor easier than you think. In fact the relationship can be beneficial for all involved. For example, many solicitors do not study IHT planning and can therefore benefit from your expertise in this area. Striking up the right relationship with a solicitor can bridge the gap between financial and legal advice providing a benefit for the client. For an adviser, making a professional connection with a solicitor can potentially open up a whole new client bank. For example, you could become the adviser they would refer their clients to, should they require financial advice. This could present many cross-selling opportunities that go beyond IHT planning, such as mortgages, life assurance and divorce settlements. Professional connections can open many doors that may have been closed before.
If you haven’t had much experience of IHT planning, it can seem quite intimidating to start. At FRIENDS® we aim to support advisers in the IHT advice process. Therefore we offer a range of support material that can help you get to grips with IHT planning. There are guides which are available online or from your FRIENDS® consultant which cover many different areas of the IHT planning process. We also have technical specialists available to answer questions you might have on the subject via our technical helpdesk, which can be reached on 0845 757 3005.
There are many ways of helping a client with their IHT planning needs. The starting point is obviously ensuring their whole portfolio is tax efficient. Then it is important to ensure they are making the best use of their allowances and exemptions. Once they have covered these areas there are many products available that are specifically designed to reduce the client’s IHT liability.
Trust and Investment Solutions from FRIENDS® offers a complete range for clients looking for the right way to mitigate their IHT liability. The Inland Revenue have confirmed that these solutions are unaffected by pre-owned asset tax legislation. In addition our Discounted Gift Plan has received Counsel’s Opinion to say it will work as intended.
The solutions offered by FRIENDS® provide a straightforward way of planning for your clients’ futures. Most of our trusts can be linked to our investment bonds. These provide access to our wide range of investment funds that are independently rated and offer widely admired internal and external manager expertise. Our investment bonds offer tax-efficient wrapper for a trust and operate under a clear charging structure.
If you would like more information on FRIENDS® range of Trust and Investment Solutions, please see our IFA site at www.friendsprovident/com/ifa or contact your local FRIENDS® consultant.Friends Provident
You will probably find many of your existing clients have an IHT planning need. Of course effective IHT planning is not just of benefit to your clients. There are plenty of opportunities for you that could arise as a result of this activity.
A relationship with a customer for their IHT planning needs will generally be a long-lasting one. Throughout this relationship you could be introduced to more potential new clients and possible sales opportunities that may otherwise have gone untapped, such as family and friends. For example, beneficiaries may need advice on how to invest their inheritance once the client dies. You would also have dealings with the clients’ trustees who may require your services to build a cautious portfolio of investments to ensure they maintain their duty of care to the beneficiaries.
IHT planning may involve the services of a solicitor. You could find working with a solicitor easier than you think. In fact the relationship can be beneficial for all involved. For example, many solicitors do not study IHT planning and can therefore benefit from your expertise in this area. Striking up the right relationship with a solicitor can bridge the gap between financial and legal advice providing a benefit for the client. For an adviser, making a professional connection with a solicitor can potentially open up a whole new client bank. For example, you could become the adviser they would refer their clients to, should they require financial advice. This could present many cross-selling opportunities that go beyond IHT planning, such as mortgages, life assurance and divorce settlements. Professional connections can open many doors that may have been closed before.
If you haven’t had much experience of IHT planning, it can seem quite intimidating to start. At FRIENDS® we aim to support advisers in the IHT advice process. Therefore we offer a range of support material that can help you get to grips with IHT planning. There are guides which are available online or from your FRIENDS® consultant which cover many different areas of the IHT planning process. We also have technical specialists available to answer questions you might have on the subject via our technical helpdesk, which can be reached on 0845 757 3005.
There are many ways of helping a client with their IHT planning needs. The starting point is obviously ensuring their whole portfolio is tax efficient. Then it is important to ensure they are making the best use of their allowances and exemptions. Once they have covered these areas there are many products available that are specifically designed to reduce the client’s IHT liability.
Trust and Investment Solutions from FRIENDS® offers a complete range for clients looking for the right way to mitigate their IHT liability. The Inland Revenue have confirmed that these solutions are unaffected by pre-owned asset tax legislation. In addition our Discounted Gift Plan has received Counsel’s Opinion to say it will work as intended.
The solutions offered by FRIENDS® provide a straightforward way of planning for your clients’ futures. Most of our trusts can be linked to our investment bonds. These provide access to our wide range of investment funds that are independently rated and offer widely admired internal and external manager expertise. Our investment bonds offer tax-efficient wrapper for a trust and operate under a clear charging structure.
If you would like more information on FRIENDS® range of Trust and Investment Solutions, please see our IFA site at www.friendsprovident/com/ifa or contact your local FRIENDS® consultant.Friends Provident
