I wrote in this column in April regarding the possibility that Structured Investments offering an auto-call or "kick-out" feature may fall foul of the qualifying rules for inclusion in a Stocks and Shares ISA following the release of Bulletin 19 from HMRC on the 30th March.
As I alluded to then, I felt it was unlikely, although at that stage not certain, that any action would be taken following the outcome of the HMRC review of these structures. I also stressed that it was not in anyone's interest to have a knee-jerk reaction until the exact motivation and objectives of the bulletin were fully understood hence why we did not remove the ISA option under our Enhanced Kick-Out Plan at that time. This stance has since been vindicated following the subsequent HMRC bulletin released on the 20th May which concludes that plans with certain specified "kick-out" feat...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
