Great returns, with the security you need
An investment you can afford to make
A bond for everyone
UK residents of any age can invest in a Healthy Investment Guaranteed Anniversary Bonus Bond.
You might consider this bond if you already have savings in a bank or building society and you are now looking to put some money in to an investment that has some risk but the potential for higher returns.
Invest anything from £500 up to a maximum of £250,000 in your own name or £500,000 in joint names.
You can take 5% (of your investment) withdrawals penalty free each year from your bond without any immediate tax consequences.
You can make one off or set up regular (monthly, quarterly or annual) withdrawals from your bond.
You should see this bond as a medium to long term investment.
Although the bond grows through bonuses, bonus rates are not guaranteed and in exceptional circumstances could be nil.
If you have to cash in, or make a withdrawal over 5% of the investment, from your bond within the first 5 years, an early surrender penalty will apply. The early surrender penalties reduce each year the bond has been invested, as follows:
Year 1 – 5%
Year 2 – 4%
Year 3 – 3%
Year 4 – 2%
Year 5 – 1%
Year 6 plus – nil
If you cash in, or make a withdrawal, a Market Value Reduction (MVR) may also be applied, which, if not made on one of the guaranteed MVR free dates, could reduce the amount you receive and you might receive back less than you invested. A MVR may be applied if there’s a significant fall in the value of the stocks and shares, or other investments we have invested in.
Inflation will reduce what your investment will buy in the future.
Your personal tax position and the way investment bonds are taxed could change.
If you have any doubt whether this bond is right for you, you should seek financial advice.
If you decide to invest in a Healthy Investment Guaranteed Anniversary Bonus Bond, you will be investing into our Ethical With-profits Fund, which includes a mix of stocks and shares, fixed interest bonds, commercial property and cash deposits. The mix of assets held changes over time.
Our Ethical With-profits Fund does not knowingly invest directly in companies in the alcohol, tobacco and arms industries and gambling and pornography providers.
The Society aims to provide a consistent return by smoothing the investment return to avoid volatile fluctuations in the value of your investment. Smoothing may not protect you against long term or sustained falls in the value of investments.
For further information on our Ethical With-profits Fund please click here.
A reversionary bonus is an annual bonus, which once added to your bond, can never be taken away.
The level of bonus depends on investment performance, our expenses and our solvency margin over the previous year as well as the Board’s expectations of future performance. The level of bonus also reflects the capital and bonus guarantees. The rate of bonus can change every year and could in exceptional circumstances be nil.
All reversionary bonus rates are net of charges. The bonus rate declared is the bonus rate you receive.
Unlike declared reversionary bonus rates, which can never be changed, interim bonus rates can be increased or reduced by the Board at any point during the year. The current interim bonus rates are based on a prudent view of future investment performance, solvency and expenses over the year. Interim bonus is paid on policies paid out within the year on both full withdrawal and death.
For our current interim bonus rates please contact our office.
A terminal bonus is an additional final bonus which may also be added on partial and full withdrawals or in the event of the death of the investor. The rate of final bonus can be changed at any time or can be withdrawn altogether.
If you die the bond will pay out the higher of 101% of the amount you invested, less any withdrawals of course, or the full value your bond, including any terminal bonus payable at the date of death.
The Healthy Investment Guaranteed Anniversary Bonus Bond comes with important capital and bonus guarantees to ensure you receive back your initial investment plus all the bonuses that have been added to your bond, less any withdrawals of course, providing you withdraw on one of the key anniversary dates.
The first guarantee anniversary date is on the 10th anniversary of the date you invested in your bond, and every 5th year after that.
MVRs are never applied on death. This means that if you die your estate is guaranteed to receive more than you invested.
The level of bonus depends on investment performance, our expenses and our solvency margin over the previous year as well as the Board’s expectations of future performance.
The Key Information Document includes examples of what you might receive back based on different investment scenarios. It also helps you understand the nature, risks, costs, potential gains and losses of this product and to help you compare it with other products.
Download our latest Key Information Document for our bond.
If there's anything
you don't understand,
we're here to help.
Call Jerrol on 0161 762 5790
Alternatively you cansend us a messageusing our contact form.Contact Us
Make sure you have read and understood the information provided
Download and carefully read the Key Information Document. This is our standard client agreement and you should read these terms carefully for your own benefit.