Great video, I've been looking for a good explanation for about 3 months. If you ever had time to go into more details with examples I would really appreciate it.
I've been administrating my late mother's estate and there were some investment bonds in the mix that transferred to my father. I couldn't get any information from the provider, originally Friends Life but now absorbed into Aviva. Your video has been very useful in helping me to understand what they are and how I should deal with them on behalf of my father. Thank you.
Helpful video. One area not covered is fees. I have heard that investment bonds often come with high fees, would you be able to cover that in a future video ?
I love your videos, have leant so much from all those advises. Thank you ! I wonder if you could you make a video about how to protect your asset and your company after the dead of sole director shareholder, who would be in charge and running the company, what happens to those investments in that company and what to do now to avoid the disaster whicj will end up of loosing everything ? It’s one of most important matters but don’t see many RU-vidrs mentioned it on here. Many thanks .
May I request that you do a video on UK Treasury Bills and their taxation. These are now available to individual retail clients on the Freetrade app/platform.
Reminds me of the old Life Insurance ISA. I think this needs a much deeper explanation. Are they a fixed return ? Can anyone buy them ? When my Father died we were advised by an IFA to put £100K into Irish Nationwide in some kind of bond. When my Mother died quite a few years later they were worth about £95K so there were no worries about capital gains !
Hi Pete. Sounds interesting; potential answer to a future problem? It's likely that in decades to come I or family will need fund a stay in a care home. Taking £££ out of a pension for this - increases draw, so means falling into a higher income tax bracket. Could IB's be used to defray the tax, which only arises due to the need to fund the care home?? Also, are there other ways to minimise tax on the draw needed for care homes?? All interesting stuff... thanks!
I didn't follow your point about use for a vulnerable benefiary of a trust? I thought a major benefit of a discretionary trust was that those assets were not "owned" by the vulnerable benefiary for means testing purposes. The investment bond therefore adds nothing in that respect (though it may do in terms of tax)?
I’m struggling with these, in one of your podcasts you brought it to life with an example, could you perhaps consider doing a vid with an example? Key is strategy for me, in general terms ofcourse 😊
Success is not built on success. It's built on failure, it's built on frustration, it's built on fear that you have to overcome. I pray that everyone who reads this remains successful in life.
Say for example, I had £50k worth of shares a number of years ago, but now those shares are worth less. If I sell up, do I still have to pay capital gains tax?
Hi. I think what this example doesn’t show is that in the GIA the growth hasn’t been taxed as you go along. So the 30k of growth in the bond would have to be compared with, I think, 36k of growth in the GIA (20%). Or have I got that wrong?
No, you’re pretty much right. Example was merely to show difference in tax treatment on gains at the end, but there’s always more detail behind the simple examples!
@@MeaningfulMoney this is where I struggle to understand why wouldn’t just use a GIA and take the capital gain in a year of 0 income and pay 10%. I think the answer is that I can change investments in the bond mid term without triggering capital gains but I can’t in a GIA. Tax wise - I can’t see the advantage.
