Sun Life International has launched a bond that gives access to three different fund ranges and has ...
Sun Life International has launched a bond that gives access to three different fund ranges and has two distinct charging options.
The first fund range is Sun Life's internal Evolution range. This has no initial charge, no charge for switching and an annual management fee of 0.5%.
The second tier of funds comprises Sun Life's preferred investment groups. These include AXA Investment Managers, Aberdeen, Barings, Fidelity, Invesco, Investec Guinness Flight and Schroders.
The third tier of funds is a wider range covering most of the major market sectors, including cash and specialised funds such as emerging markets and technology funds.
The bond is available in dollars, euros and sterling and has a minimum initial premium of $75,000 or equivalent, with further contributions having to be at least $7,500.
Evolution has two charging structures and additional structures will be added to increase the flexibility of this product. Once one of the two structures has been chosen, there is no option to switch back.
Option A has a 0.25% quarterly establishment charge for the first four years, while option B is more expensive at 0.43%. Option A has an early surrender charge for the first eight years, while with B it only lasts four years.
For every 1% of the negotiable 5.2% commission the intermediary gives up, Sun Life will contribute 1.16% to the fund in the B option, while in the A option, this is only 0.9%.
This product is available to most individuals, trusts and corporate investors but not to Isle of Man investors.
‘Most significant’ upgrade since launch
Changes happening over coming months
Had accepted British Steel business
Aimed at HNW clients and family groups
Set for 1 April 2019