SG Life & Pensions, the new retail brand of Societe Generale, has started life by bringing in the SG Life international bond.
The bond is a single-premium traditional offshore bond that has been underwritten by SG Life (Guernsey). It is aimed at the high-net-worth investor with at least £50,000 to invest and who is looking for growth. Investors in the UK can access the bond, along with expatriates and foreign nationals living in the UK.
Investors can choose from three investment portfolios, cautious, balanced and aggressive, depending on what their attitude to risk is. Experienced investors can also choose the self-select option which allows them to pick their owns funds from the 94 available.
The bond will invest in funds that will be researched and chosen by SG Hambros Bank & Trust. These funds will cover a wide variety of sectors and areas and will include ones from HSBC, Dresdner, Gartmore, Societe Generale, Mercury, Invesco, Henderson and Lloyds TSB.
This is similar to the Royal & SunAlliance International Financial Services (RAIFS) global personal portfolio, which is also a single premium traditional offshore bond. The RSAIFS product invests in any unit trust or investment trust registered in the UK by the Financial Services Authority, depending on the investors attitude to risk. However, the SG Life product has a lower minimum investment level which makes it more accessible to investors.
According to Standard & Poors of the 57 Societe Generale funds, 10 are first quartile, 17 are second quartile, 10 are third quartile, and 16 are fourth quartile, based on £1,000 invested on a bid-to-bid basis with gross income reinvested over one year to September 3, 2001.