Investment
bond

Investment bond overview
Our funds

Existing customer

What is an investment bond?

Quite simply, an investment bond is a way of putting your money into a fund or funds over the long term. The bond itself is just a framework. Your money is actually invested in a fund or funds of your choice. A fund is a pool of money that many individuals invest in and is looked after by expert fund managers.

What investment bond does Norwich Union offer?

Norwich Union's investment bond is called Portfolio. Portfolio offers a wide range of funds so you can tailor your bond to meet your needs at any time. It not only gives you access to Norwich Union's experienced fund managers, it also lets you take advantage of the expertise provided by other leading companies.

Portfolio is a lump sum investment bond with no fixed term. It is designed to be a long-term investment and should not be viewed as a short-term commitment. If you cash in or take some money out there may be charges, particularly in the early years, and you might get back less than you paid in. The minimum investment in Portfolio is £5,000.

Where does it invest?

The bond invests in funds, which in turn invest in a range of assets. Each fund carries a different level of risk and potential return, depending on what type of assets it invests in.

The value of your investment and any income you take from it can go down as well as up. You may not get back the amount you originally invested.

Find out more information about the funds available as part of the Portfolio

How flexible is it?

The bond lets you invest your money to give you potential growth, provide an income or even a combination of the two. It can be a tax efficient way of investing, but this depends on the circumstances of the investor.

As you grow older, your circumstances are likely to change and so will your financial needs. An investment bond is very adaptable. You can move your money from fund to fund, perhaps changing from a growth fund to one that provides you with an income, although there may be a charge or other penalties for this. If you want to, you can take a regular income or take one-off payments from your bond to help with any unexpected surprises.

You need to be aware that if you choose to take payment from your bond in the form of income and / or withdrawals in excess of the growth of the bond then original capital invested could be eroded.

Also, in the first five years, we will make a charge for any one-off withdrawal or any regular withdrawals in excess of 7.5% of the original payment in any policy year.