Choice, from Generali Worldwide is a single premium unit linked, life assurance plan. This means there are a limited range of investment options in the funds which Generali has selected for international investors.
These plans are sometimes known as baby bonds because they enable clients with relatively small amounts (the currency equivalent of £20,000) to invest on a tax-efficient international platform.
The charges within this type of product type are very high. These combine with a lock-in period where it is punitive to access your money if required.
Whilst a traditional commission-based salesperson may well direct you to this type of investment plan, the world has moved on and there are now substantially more cost effective, more flexible and arguably better-performing offshore investment products available to the first time international investor.
Lower charges with wider, more cost effective investment options combined with no lock-in periods mean higher returns are potentially available via other forms of investment vehicle.
Generali Worldwide Choice Plan Key Features
Access to around 150 funds from Generali some of the world’s leading Fund Managers – offering a reasonable choice of investments, although the underlying annual management fees can be expensive and certainly higher than if accessing the fund manager directly. The funds are risk rated and cover all of the major markets and asset classes and Generali produces a comprehensive guide on the funds available called the International Fund Selection.
Plan holders maybe invested in a maximum of 20 funds at anyone time.
Choice of Currencies - Choice offers investing in 4 different currencies ( USD, EURO, GBP and YEN); providing some freedom in choosing the most suitable currency depending on what you are earning as an expat, or favoring the currency of the country of your origin.
Eligibility – Generali Personal Portfolio Bond is a whole of life, life assurance contract issued by Generali Worldwide. It is available to most international investors outside of the main regulated territories such as the UK, the USA and Australia.
Charges: high and affected by adviser commissions - see the FAQ for a full break down of the potentially runious charges.
WARNING - Early Surrender Penalty:
If the Plan is fully surrendered, early discontinuance charges may be deducted from the Investment Value. This charge will be equal to any establishment charges that would have been deducted had you not surrendered your plan.