Manage Capital – The HSBC Life Onshore Investment Bond can be taken out by any UK tax resident limited company. The Bond offers a means of investing a lump sum for the potential of capital growth over the medium to long term.
General tax planning – depending on the accounting standard adopted, the Bond may be used for general company tax planning.
Tax treatment – Special Corporation Tax rules apply to the HSBC Life Onshore Investment Bond when held by a limited company. This means that, subject to the accounting standard used by the company, a Corporation Tax deferral on the growth could arise. Corporation Tax would be payable on the full surrender or on a part withdrawal from the Bond.
Investment choice – the Bond offers access to an open architecture of over 3,800 investment funds.
Low minimum investment – Initial investment starting from £25,000. The minimum for additional investments is just £500.
Multi-life facility – unless the Bond is cashed in, it will continue until the death of the last surviving life assured.
Transparency – all transactions are undertaken through a cash account which is divided equally across all the policies in the Bond. Payments are separately itemised and documented on your client’s half yearly statements, so they have a clear picture of the charges and deductions which apply.
The Three I’s of Investable Capital ReportrnInvestment for capital growth, Investment for income, Investment for intergenerational transfer.rn
Limited companies can apply for the HSBC Life Onshore Investment Bond via a financial adviser, using a bespoke paper application form.
Please access the Application Forms and Form Guidance via the HSBC Life Extranet.
You can access the Application Form and Application Form Guidance via the HSBC Life Extranet.
The following documents are available: