Investors Trust Fixed Income Portfolio

An independent review by our team of experts.

Review summary

Investors Trust Fixed Income Portfolio

Investors Trust

Investors Trust is an international insurance company licensed and regulated by the Cayman Islands Monetary Authority. 

Investors Trust specialises in the provision of medium to long-term investment-linked products tailored to meet the needs of investors around the world, and delivers a range of flexible, tax-efficient products including regular and single premium annuities, designed to suit various income levels and financial planning needs.

With service offices established to support plan participants around the world but not in the UK, USA or EU, Investors Trust seeks to provide opportunities to its plan participants through access to the global financial markets.

Investors Trust are not a large company by international standards and given that they are based out of Cayman, with its lack of regulatory enforcement and protection, is a red flag if the company were to suffer any financial set-backs.

Investors Trust Fixed Income Portfolio

Investors Trust Fixed Income Portfolio is described as a low risk, US dollar, offshore lump sum investment policy.

Overview

Investors Trust's Fixed Income Portfolio is issued under Investors Trust’s Cayman Islands insurance license. 

You can choose from three term options of either three, five or fifteen years, and there is a guaranteed fixed return depending on the term of the plan you choose. 

The guarantee is generally higher than the current bank deposit rates in US dollars.

Small amounts of capital, from US$10,000, can be invested into a tax efficient offshore structure through the Investors Trust Fixed Income Portfolio. 

Returns never fluctuate from the guarantee issued at the outset of the policy, so this Fixed Income Portfolio is designed for lower risk investors. 

Returns are net of all charges, except for a $7 per month policy fee. 

The policies, due to their investments, have a fixed contractual term.  It is therefore not advisable to encash these plans early, as they will be subject to early surrender penalties.

Investors Trust state that they have a segregated portfolio structure in the Cayman Islands, which gives investors “100% security via an independent third party custodians’ nominee trust account.”

There is no switching available in the Fixed Income Portfolio, it is simply linked to a low risk basket of assets managed by Investors Trust.

You can apply for and manage your Fixed Income Portfolio online and in multiple languages.

Investors Trust Fixed Income Portfolio Key Features

3 YEAR FIXED RATE LUMP SUM PLAN

CURRENCY: USD

MINIMUM CONTRIBUTION: USD 10,000 per annum

INTEREST RATE: Refer to Investors Trust Website for latest rate

INVESTMENT TERM: 3 years

PRINCIPLE PROTECTION: 100%

ADMINISTRATION CHARGE: NIL

POLICY FEE: USD 7 per month

5 YEAR FIXED RATE LUMP SUM PLAN

CURRENCY: USD

MINIMUM CONTRIBUTION: USD 10,000 per annum

INTEREST RATE: Refer to Investors Trust Website for latest rate

INVESTMENT TERM: 5 years

PRINCIPLE PROTECTION: 100%

ADMINISTRATION CHARGE: NIL

POLICY FEE: Zero year 1. USD 7 per month after

15 YEAR VARIABLE RATE REGULAR CONTRIBUTION PLAN 

CURRENCY: USD

MINIMUM CONTRIBUTION: USD 2,400 per annum

INTEREST RATE: 12-Month US LIBOR +1.5% per annum : Minimum rate 3.5% : Maximum rate 6%.

INVESTMENT TERM: 15 years

PRINCIPLE PROTECTION: 100%

ANNUAL ADMINISTRATION CHARGE: 1.125%

POLICY FEE: Zero year 1. USD 7 per month after

The pros

  • Popular expat investment plan
  • Preferred choice of expat financial advisers
  • Strong brand of parent company

The cons

  • Risk of hidden commission
  • Potentially inflexible
  • Commonly mis-used
FAQs
What are the main benefits offered by the Investors Trust Fixed Income Portfolio?
  • 100% Principal Protected (Subject to surrender charges.)
  • Low risk investment
  • Steady Income
  • Low minimums
  • Low surrender charges
  • Tax exempt structure (Potentially - dependning on your personal circumstances)
Are there loyalty bonuses with the Fixed Income Portfolio?

There is a bonus availablke on the 15 Year Variable Rate Regular Contribution Plan:

Loyalty Bonus = 7.5% of contributions years 1 - 10 and 5% of contributions years 11 - 15 but all premium payments due must have been received within the grace period, with no contributions decreases or partial withdrawals, for the Loyalty Bonus to take effect.

 

Do I have to pay Investors Trust surrender charges if I surrender my Income Portfolio?

Sadly - yes...

3 YEAR FIXED RATE LUMP SUM PLAN

SURRENDER CHARGE: End of year 1 – 3% : End of year 2 – 2% : End of year 3 – 0%.

5 YEAR FIXED RATE LUMP SUM PLAN

SURRENDER CHARGE: End of year 1 – 4% : End of year 2 – 3%: End of year 3 – 2% : End of year 4 – 1% : End of year 5 – 0%.

15 YEAR VARIABLE RATE REGULAR CONTRIBUTION PLAN 

SURRENDER CHARGE: Equal to sum of charges due for remainder of contract.

 

 

What's the guaranteed death benefit for the Fixed Income Portfolio?

In each case, in the event of a relevant death, the standard amount payable will be 101% of the Account Value.

However, on the 15 Year Variable Rate Regular Contribution Plan, The Guaranteed Death Benefit shall not be payable if the Insured dies within the first 2 years of the Policy Issued Date from an illness or physical condition that pre-existed the Issue Date or if the Insured commits suicide.

If all required contributions are not paid within the grace period, this benefit shall terminate and will not be reinstated.

Customer reviews
Why 3 star rating?

As Investors Trust is in Cayman, offers IFAs all sort of incentives like cruises that come from an investor's money ultimately, and levy massive fees for a non-unique service, I'm surprised you give them 3 stars AES.

Editor: thanks for your feedback, which I have passed to our reviewers.

Expert verdict
Expert Assessment of Investors Trust Fixed Income Portfolio

Used in the right circumstances, offshore bonds can provide attractive tax benefits.  However, in many instances, they can be mis-used by commission based salespeople to extract high levels of commission.

If you already have an Investors Trust Fixed Income Portfolio (FIP) we recommend you have a free, no obligation X-Ray Review™ conducted to give you the information you need to make a decision on the best way forward.

“Thank you AES International for helping me and my family with your low cost no-nonsense approach. It is refreshing!”

Kristian Petersson

“With this sort of service you also expect to be paying very high fees, but it’s just not the case. I would definitely recommend AES.”

Jake van den Dries

“In the short time that I’ve been using AES I’ve made nearly ten thousand pounds and couldn’t be happier!”

Jackie Pym

    Additional resources

    View all Reviews

    Request your X-Ray Review™ today!

    Because you deserve better results - nothing less.