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PRODUCT PROFILE
Universal Personal Portfolio Capital Redemption
Description
Asset selection
The Universal Personal Portfolio is a unit-linked single
contribution contract which enables the contract holder
or the contract holder’s chosen fund advisor to select
assets to which the contract can be linked, subject to
our agreement.
A wide range of asset categories can be linked to this
contract, including unit trusts, deposits, equities, fixed
interest securities and Hansard International Limited
Unit Funds. This is subject to our prevailing asset review
criteria. Assets must be marketable and liquid.
Eligibility
Applicants must be aged 18 or over at the date of
commencement. Applications cannot currently be
accepted from residents of the United States of America,
U.S. Persons and residents from most European Union
Member States.
Currencies
More information on our asset review criteria can be
found in our leaflet A Guide to the Asset Review Process,
reference HO2029O, available through your independent
financial advisor. For confirmation that specific external
assets (assets other than Hansard International Limited
unit funds) can be administered within this contract,
please contact us, or your independent financial advisor.
The minimum value per holding in each asset is GBP 5,000,
subject to the agreement of the individual fund manager.
The contract can be denominated in most major currencies.
Fund advisor
Contract term
The contract will mature on expiry of the 99 year term,
unless fully surrendered before the end of the term.
Contract holders may appoint a fund advisor at any
time to provide advice. This fund advisor may be given
authority to deal on the contract holder’s behalf, subject
to certain terms and conditions.
Maturity benefit
Surrender and withdrawal
At the end of the selected term, the value of the
contract will be the surrender value of the contract
at the maturity date.
The contract can be surrendered at any time for
the full value of assets allocated to it subject to the
discontinuance charge below, any establishment charge
due but not yet applied to the contract, the balance of
the year’s management charge and the balance of the
year’s service charge.
Minimum contributions
The minimum contribution is GBP 25,000. Additional
minimum contributions of GBP 5,000 can be made at any
time and are applied to the existing contract. Contract
holders may make contributions in most freely convertible
currencies, with the minimum contribution level being set
at the date the contract is put into force by converting the
GBP minimum to the chosen contract currency.
Unit allocation
100% of each contribution made will be allocated to units.
Full surrenders relating to contributions which have
been invested for less than five years are subject to a
discontinuance charge. This discontinuance charge is
8% of the higher of the contract value or the contribution
reducing by 1.6% for each complete year of investment
of the related contribution.
Withdrawals can be made at any time without a
surrender charge being applied. A withdrawal can be
any amount above GBP 500 up to the contract value
less the charges that would be due on full surrender of
the contract at the time.
Where assets cannot be realised, we reserve the right at
our discretion to transfer the unrealised/unrealisable asset
to the contract holder as part of the surrender process,
provided always that it is not a Hansard International
Limited unit fund. This is also applicable to withdrawals.
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Contract charges
Annual management charge
Any external charges incurred, for example bank,
custodian or stockbroking fees are charged to the contract
holder’s portfolio.
During the first five years following investment of a
contribution, the annual management charge is 1.5% of
the higher of (i) the contribution and (ii) the value of the
assets related to that contribution.
The contract holder must retain 5% of the value of the
contract in cash or daily priced assets linked to the contract,
on an ongoing basis, to meet the quarterly charges.
Where the contribution has been invested for more than
5 years, a 0.5% annual management charge applies to
external assets. However, a 1% annual management
charge, taken into account in the unit price, will apply to
Hansard International Limited unit funds, if selected.
Valuation reports
If additional contributions are made, a new five year
annual management charge period begins in respect of
that contribution.
Other charges
Investor protection
Description
Amount
Service charge
GBP 138 per quarter
Establishment charge
0.5% of each
contribution, per quarter,
for four quarters
Dealing charges Hansard International
Limited unit funds
GBP 12.50
External assets
GBP 25.00
Additional valuation report
GBP 100 per report
Please note that a switch between two assets is treated
as two separate dealing transactions, and therefore two
separate charges.
Monetary charges are expressed in GBP and may be
increased each year, normally in July, to reflect inflation,
in accordance with the Contract Terms and Conditions.
Assets, unit funds and/or the contract itself can be
denominated in different currencies and currency
conversions may be required when charges are
deducted from the contract.
Assets and unit funds employ the services of external
managers, who will apply further charges. These
charges are reflected in the quoted unit price and may
vary at any time without notice.
Withdrawal and surrender payments from the contract
will incur a bank transfer charge. The amount of the
charge varies depending on the currency of payment
and location of the recipient’s bank account. The
contract holder’s own bank may also apply a transaction
charge. For further information please contact us.
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The contract’s progress can be monitored by using
an OnLine Account. The OnLine Account enables
the contract holder to view key information, including
valuation reports, at no additional cost via our secure
internet facility. We can also send valuation reports to
the contract holder on request for a charge of GBP 100.
Contract holders are advised to ensure that they are
fully aware of the level of risk involved in the assets they
have selected and the investor protection legislation (if
any) provided in respect of those assets. The Isle of
Man Policyholder Protection Scheme does not cover
a failure of a chosen asset. We make no warranty
or representation of any sort due to the fact that the
assets chosen by the contract holder can be linked to
this contract. In addition, if the chosen asset is targeted
at a particular group of investors, or subject to certain
preconditions or restrictions (for example Exempt
International Schemes in the Isle of Man), then any
instruction from the contract holder (or on their behalf)
to invest in such an asset shall come with a deemed
representation that the contract holder falls within the
parameters set out in the chosen asset’s particulars.
Please note the assets are owned by the Insurance
Company and as such are treated as “institutional
investor” owned assets for investor protection purposes.
Important notes
This contract is valued on the basis of the performance
of the assets that are chosen by the contract holder.
It is based on the unit price, movements of which
may give rise to losses, especially in the short term. It
should also be noted that the effect of fluctuations in
currency exchange rates may be positive or negative.
Furthermore, it cannot be guaranteed that all asset
sales and purchases can be effected immediately on
receipt of instruction.
We are not liable for:
1. any country’s current or future tax or other
legislation which may affect the contract including
any benefit that may be payable under it. Applicants
should seek independent advice on the applicable
legislation in their country of residence;
2. any supplementary information concerning this
product profile provided by any third party; and
3. the suitability of the applicant’s choice of product,
since we do not provide investment advice.
The product is available only through independent
financial advisors who are the agents for the contract
holder and on the understanding that the independent
financial advisor represents the contract holder in all
relevant matters.
The relevant product terms set out all the details of the
contract between the contract holder and us.
If a contract holder becomes resident in the United
States of America, we may not be able to accept any
further contributions or any instruction to vary the asset
choice until after the contract holder subsequently
ceases to be resident in the United States of America.
In exceptional circumstances or circumstances beyond
our control, we reserve the right to defer payment of
benefits and/or withdrawals/switch requests including
deferring pricing of a unit in a unit fund, or value the
asset at nil. We also reserve the right, where necessary,
to transfer to the contract holder the title of assets that
are linked to the contract, which cannot be realised in
the short-term.
This contract is covered by the terms of the Isle of
Man Life Assurance (Compensation of Policyholders)
Regulations 1991.
It is our policy to respond to and resolve all complaints
made by contract holders promptly. Complaints that are
not resolved can be referred by the contract holder to
the Isle of Man Financial Services Ombudsman.
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Hansard International Limited
Harbour Court, Lord Street, Box 192, Douglas, Isle of Man IM99 1QL, British Isles
Telephone: +44 1624 688000 Fax: +44 1624 688008 Website: hansard.com
Registered Number 032648C.
Regulated by the Isle of Man Insurance and Pensions Authority
HO1837O 01/07/15
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