Provider MGM Assurance Product MGM Celebration Bond The MGM Celebration Bond is a life assuran...
MGM Celebration Bond The MGM Celebration Bond is a life assurance policy which is designed to give long-term growth prospects through managed investment.
This product is available through IFAs.
Minimum age attained at entry
There is no minimum age for investment.
Maximum age attained at entry
There is no maximum age for investment.
Minimum stand alone single premium (£)
The minimum single investment is £7500.
Minimum additional single premium (£)
The minimum additional investment is £500.
Initial charge incorporated in the bid/offer spread (%)
There are no initial charges
Annual Man Charge (%pa)
The annual management charge of 1% per annum (or 0.5% for the MGM Deposit Fund) is deducted.
Administration fee (%)
There is a monthly charge of 0.075% of the fund value which is deducted for the first 60 months. This is deducted to pay for some of the costs involved in setting up the Bond.
Policy fee (£)
There is not a policy fee charged.
Early surrender charge levied
Length of time since units allocated to the Bond &
charge (% of units encashed)
Up to one year 9% One to two years 7%
Two to three years 5%
Three to four years 3%
Four to five years 1%
Five years and over nil
Will not apply to regulated automated withdrawals below 7.5% in any policy year.
Allocation rates (%)
The allocation rates will be reduced by 1% where the only or younger life assured is aged between 76 and 85, and by a further 1% where they are aged 86 or more.
amount standard income* invested
£7,500- £9,999 97.5% 96.5%
£10,000 - £24,999 101.5% 100.5%
£25,000- £49,999 102% 101%
£50,000- £99,999 102.5% 101.5%
£100,000 and over 103% 102%
*where the regular income facility is chosen.
Allocation % £5K
The allocation rate for £5K is 97.5% standard / 96.5% income
Allocation % £10K
The allocation rate on £10K is 101.5% standard/100.5% income.
Allocation % £25K
The allocation rate on £25K is 102% standard/101% income.
Allocation % £50K
The allocation rate on £50K is 102.5% standard/101.5% income.
The allocation rate on £100K is 103% standard/102% income.
A loyalty bonus of 2% of the unit value will be paid by allocating additional units on the 10th policy anniversary that units are allocated to the Bond.
Projected maturity values for £5,000 invested for 5 years
Projected maturity values for £25,000 invested for 5 years
Projected maturity values for £5,000 invested for 10 years
Projected maturity values for £25,000 invested for 10 years
Number of funds available
There are twelve funds available with varied risk profiles including standard links, greater diversity and a with-profits link.
MGM Bonus Growth (With-Profits)
MGM Fixed Interest
MGM Lazard Managed
MGM International Equity
MGM North American
MGM Pacific Basin
MGM Special Situations
MGM UK Equity.Index Tracker/Passive Managed funds available
The funds are all actively managed.
Externally Managed Funds
There are no externally managed funds available.
Managed fund name
The managed fund names are: MGM Managed Fund or
MGM/Lazard Managed Fund
Number of free switches per year
All switching is free.
Charge per fund switch (£)
There is no switching charge made.
Plan can be written on a single life basis
The bond is available on a single life basis.
Plan can be written on a joint life 1st death basis
The Bond is not available on a joint life first death basis.
Plan can be written on a joint life 2nd death basis
The Bond is available on a joint life second death basis.
Option to split the plan into a cluster of policies
The Bond may be split into a maximum of 10 identical policies.
Percentage paid out on death of the life assured
If the investor should die, (or the survivor in a joint life investment dies), MGM Assurance will pay a sum equal to 101% of the value of the units in the investment at the time of death.
Fixed sum regular withdrawals available
Income may be taken as a fixed amount. MGM must be informed of this at the outset.
Regular withdrawals as a percentage of initial investment
Income of up to 12.5% of the investment may be taken every year. The early withdrawal penalty will apply for withdrawals in excess of 7.5% of the investment every year.
Withdrawals can be increased automatically
There is no automatic increase option.
Regular income payment frequencies
Income is payable either annually, half yearly, quarterly & monthly.
Phased investment option available
There is no phased investment scheme.
Share exchange scheme available
There is a share exchange scheme.
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