KeyInvest has introduced four new funds to the KeyInvest Investment Bond menu. Dimensional fund options have been specifically requested by adviser partners, and are now available.
These updates form part of KeyInvest’s Investment Menu Refresh and Uplift program — a deliberate, adviser-led initiative to ensure the menu meets the evolving needs of advisers and their clients.
The new options are:
LEB 9 — Dimensional World Allocation 30/70 Trust
LEB 10 — Dimensional World Allocation 50/50 Trust
LEB 11 — Dimensional World Allocation 70/30 Trust
LEB 12 — Dimensional World Equity Trust
Why Dimensional?
Dimensional manages over one trillion dollars in assets globally, the firm has built a reputation grounded in evidence-based investing, applying decades of financial science to portfolio construction in a way that has earned exceptional loyalty amongst many in the adviser community.
For KeyInvest, the decision was straightforward, as adviser partners have been asking for Dimensional options on the menu. On completing reviews and due diligence, the strong alignment between Dimensional’s evidence-based philosophy and KeyInvest’s values of trust, results, innovation and care, was clear.
Some advisers and practices are already incorporating Dimensional in their portfolios, and these options now enable consistent, philosophy-aligned construction within the tax-paid structure of an Investment Bond.
Part of a bigger picture
These four options are the first tranche of a multi-stage program. Further additions are already in progress, with a longer-term goal to effectively double the number of options available, covering a broader range of risk profiles and investment preferences.
KeyInvest works in partnership with a number of underlying fund managers and values each of those relationships. The Dimensional partnership reflects a broader commitment to deepening those relationships and bringing more co-developed content and education to adviser partners.
Why now matters
Investment Bonds are experiencing renewed relevance, and for good reason.
Proposed Division 296 legislation would impose a 30% tax on superannuation earnings for balances above $3 million, rising to 40% on balances above $10 million.
For clients in this position, KeyInvest’s Investment Bond can offer a compelling complementary or alternative structure:
- Tax-paid environment with a maximum 30% tax rate on earnings (and an effective tax rate which can be as low as 0%).
- Tax-paid by KeyInvest with no annual personal tax reporting.[1]
- No contribution caps in the first year; 125% rule applies from year two onwards.
Where intergenerational wealth, estate planning or living legacy considerations apply, there are no beneficiary restrictions. Clients can nominate any person, company, trust or charity.
- Proceeds paid to nominated beneficiaries on death are tax-paid, regardless of the policy duration – even if under 10 years.
- With a beneficiary nominated, the bond becomes a non-estate asset, avoiding the delays and complexities of probate.[2]
- KeyInvest’s Child Advancement Option and KeyPlanner features allow clients the ability to implement controls over how and when wealth is distributed and accessible to beneficiaries.[3]
What’s coming next?
To support advisers in understanding these new options and how they can be applied in clients portfolios, KeyInvest and Dimensional are co-developing educational content and programs — including a joint webcast for advisers with clients who have already switched.
These enhancements and the broader Investment Menu Refresh and Uplift program is led by Nick Heuzenroeder, Head of Product Innovation & Partnerships (optional).
Nick is also driving KeyInvest’s broader partnership program — spanning fund managers, dealer groups and licensees — and oversees adviser education in his role as Responsible Manager.
Advisers interested in learning more about the Investment Menu program, discussing APL inclusion, or participating in future adviser education initiatives are encouraged to reach out to Nick at [email protected].
For advisers who haven’t explored the Investment Bond recently, or who have clients for whom these trends are directly relevant, now is a good time to revisit.
Register your interest in the upcoming webcast →
More information on Dimensional’s philosophy and approach is available at The Science of Investing and The Dimensional Difference.
Want more information?
Naturally, conditions apply. If you have any questions or need further information, the KeyInvest Investor Services team are here to help. To contact our team:
- Call us on 1300 658 904
- Speak with your financial adviser
To learn more about KeyInvest Investment Bonds, visit our Investment Bond page.
