Way Group has set up an estate planning vehicle that it claims will allow policyholders to safeguard unlim ited funds from inheritance tax.The Way estate transfer plan uses an absolute trust to hold funds for future beneficiaries so a gift qualifies as a potentially exempt transfer. The investor decides how much of the assets should be placed within the Pet and buys endow- ment policies offered by Isle of Man Assurance linked to one or more of Way’s portfolio funds. The investor gifts the death benefit to these newly invested policies via a specialist absolute trust for the beneficiaries named by the donor. As long as the donor survives seven years, any value remaining within the trust will escape IHT. The maturities are at fixed times and levels chosen by the donor. The retained value for these maturities reduces the value of the initial gift for IHT purposes so the gift is at discounted value. Way Group chairman Paul Wilcox says: “This is the light at the end of the tunnel for seriously wealthy investors.” Worldwide Financial Planning managing director Peter McGahan believes the plan will be copied throughout the market but says its main downside is that it uses Way portfolio funds which he says have only shown average performance.
Towry Law head of pensions Simon Farrant has joined Distribution Technology Limited as head of financial planning. Media commentator Farrant will work on the development of a range of retirement planning services for DTL’s clients.
Brokers say that specialist mortgages can improve impaired credit profiles, according to Alliance & Leicester Mortgages.Four in five brokers – 80 per cent – believe the sub-prime market will continue to grow in the next two years with 19 per cent thinking it could increase by more than 20 per cent.A&L research has revealed that […]
Former Beacon Homeloans director Brian Pitt has joined Kensington along with former SPML director of credit Stuart Aitken. The pair will look at strategic opportunities in the specialist lending sector.
I read with great interest the article, Providers are in A-Day meltdown (Money Marketing, August 3). I have great sympathy for the likes of Mr. Jacob and his clients but the news comes as no surprise to many of us in the pension industry. This is yet another instance of poor standards of administration meted […]
Did you know that 60 per cent of business owners said they had no protection in place to cover the cost of buying shares should a business owner die?*
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As the outlook for the UK’s economy remains uncertain, how can advisers prepare portfolios for any change in inflation? As higher inflation fails to appear on the horizon and wages grow faster than expected, fund managers are weighing up their portfolio moves for any potential changes in the economy. The UK consumer prices index rose […]
IFA directors Kevin and Cheryl Neal have been banned from being company directors by the Insolvency Service for six and four years, respectively. The married couple ran the now-defunct Hertfordshire-based Kevin Neal Associates Wealth Management. They were disqualified for taking assets from an insolvent company. The firm had been incorporated to take over the business interests […]
Hartley Pensions has bought the “untainted” assets of the Lifetime Sipp Company, which went into administration earlier this year. An update published today on the website of Lifetime’s administrators Kingston Smith & Partners says Hartley Pensions has also agreed to administer the tainted Sipps held by Lifetime Sipp. The administrator described tainted assets as those where […]