Canada Life International has expanded its Isle of Man-based Dimensions range with the launch of its...
Canada Life International has expanded its Isle of Man-based Dimensions range with the launch of its new product, the Dimensions Preference Discounted Trust Plan.
The plan combines the Dimensions Preference Account, a single premium, whole-of-life assurance policy launched in November 2007, with a bespoke discounted gift trust.
The idea of the plan is to shelter assets from inheritance tax while still allowing the owner to draw an income from them.
Canada Life International has chosen to use a bespoke discounted gift trust as it fears wrap trusts might fall foul of pre-owned asset tax (POAT).
John Cowley, head of technical services at Canada Life International, commented: "Our product totally conforms with the POAT legislation as well as Revenue guidance notes on discounted gift trusts. It was designed by a tax solicitor and signed off as being effective by Tax Counsel.
"It is our top priority to ensure we attempt to minimise any risk regarding our products from a legislative point of view."
Joe McDonnell joins as head of portfolio solutions (EMEA)
Fidelity Multi Asset CIO's outlook
Willis Owen report
From 1 March
More than 16,100 clients compensated