Abstract
Investment bonds have long existed as a flexible investment vehicle, but their role in intergenerational wealth transfer is often underestimated or overlooked by financial advisers. This is due mostly to investment bonds taking a back seat to large investment platforms dominating the landscape. As estate planning becomes increasingly complex amid evolving tax laws, family dynamics, and longevity, investment bonds offer unique benefits, combining tax efficiency, straightforward reporting, and capital growth potential within a single product. This article explores how investment bonds can be strategically employed to facilitate the seamless and tax-effective transfer of wealth across generations. It challenges conventional wisdom/myth that sees investment bonds viewed as merely “taxed at 30%” and “inaccessible” to many clients, instead positioning them as a contemporary, powerful estate planning tool. Practical case studies, legislative insights, and compliance considerations are included to help advisers integrate investment bonds confidently into their intergenerational planning strategies.
Download the full article:
Investment Bonds: A Modern Tool for Intergenerational Wealth Transfer
