Investors Trust Evolution Savings Plan

An independent review by our team of experts.

Review summary

Investors Trust Evolution Savings Plan

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, this is a red flag if the company were to suffer any financial set-backs.

Overview

Investors Trust Evolution Savings Plan

The Evolution Savings Plan was launched in 2002, it’s a regular premium life assurance, also known as a contractual savings plan.

As an investor in the plan, you sign up to save an agreed amount on a regular basis for a pre-agreed number of years.  You can begin saving from as little as US$100 per month.

Like any contractual savings plan, it should not be taken out unless you fully intend to contribute for the full term agreed, because of early surrender charges and inflexibility.

Depending on the length of the plan you sign up to, you may be eligible for a penalty free surrender after 5, 10, 15, 20 or 25 years.

According to Investors Trust, this plan has the shortest initial unit period of any offshore savings plan.

What this means in plain English is, it pays the least commission to the financial adviser who sold it to you, and so it’s cheaper up front for you than other similar products.

‘Initial units’ is a term used by insurance companies to mean the amount of money that investors pay which is allocated to paying their adviser’s commission.

Investors Trust say they offer extra allocations, based on the size of your regular premium, and they give loyalty bonuses after ten years.  As such, if you remain invested and you invest heavily, the overall cost of the plan is slightly less than if you don’t.

The company also says it has a segregated portfolio structure in the Cayman Islands, which gives investors: 

“100% security via an independent third party custodians’ nominee trust account.”

The plan does offer a wide range of investment funds from some of the leading global fund managers, including low cost exchange traded funds (ETFs), and there are 15 free fund switches per year.  Further switches may incur a charge.  

The pros

  • Superficially highly attractive
  • Potential for better than bank rate return if all contributions are made throughout the term
  • Lack of flexibility may encourage discipline of saving

The cons

  • Opaque and complex charging structure
  • Expensive way to invest
  • Easily mis-represented at the point of sale
FAQs
What are the fees and charges on the Investors Trust Evolution Savings Plan?

In terms of fees and charges beyond the initial units which are used to pay commission, there is an annual administration charge, a policy fee and an asset management charge.

Annual Administration Charges: For the first 10 years, 1.9% per annum of total premiums due from outset to the relevant policy anniversary.

After year 10, 0.35% per annum of total premiums due from outset to the relevant policy anniversary until the completion of the full premium payment term, no administration charge thereafter.

Policy Fee: USD/EUR 7.00 (GBP 4.5) monthly, charged at the beginning of each policy month.

0.125% monthly of fund balance, charged at the beginning of each policy month.

The plan does offer a range of investment funds from some of the leading global fund managers, including low cost exchange traded funds (ETFs), and there are 15 free fund switches per year.  A fee of USD/EUR/GBP 22 is charged on each additional fund transfer request

There are no bid/offer spreads and no credit card charges on any card including Amex, and there aren’t any other hidden costs.

For as long as the assets remain invested, the asset management fee will continue to apply.

Are there early encashment or withdrawal penalties?

Early Encashment - Equal to the sum of the annual administration charges due for the remaining contract years at the time of surrender.

What are the Investors Trust Evolution Savings Plan key features

Evolution is an international regular savings plan. Investment Choice – A limited range of funds on the platform, from some of the major asset managers, but they are not mirrors.

Multi-Currency – USD / EUR / GBP.

Contract term – 5, 10, 15, 20 and 25 years.

Minimums 5 Year Term - USD/EUR/GBP 2,400 annually, 10 Year Term and above - USD/EUR/GBP 1,200 annually.

Customer reviews
Why would anyone investing in anything in the Cayman Islands unless they were trying to dodge tax?

I'd be suspicious of someone flogging Cayman Islands stuff wouldn't you?

I stupidly signed up to this

I thought I could access my money whenever I wanted. Well, imagine my unpleasant surprise when I DID withdraw some and the real costs and charges didn't reduce but actaully went up in real terms.

Lacking in transparency

I nearly bought in to this because the adviser I spoke to totally shoved it at me to be frank. Then I dug into structured savings products a bit more and found out what a load of expensive rubbish they are - the only people who profit from them are them who sell them - massive commissions. Ever wondered why your IFA is so flashy!

Expert verdict
Expert Assessment of Investors Trust, Access Portfolio Bond

Although this product is in some ways more attractive than other variants, this entire family of product (contractual savings schemes) have in our view now been superseded by other more attractive options.

More cost effective, more flexible and less complex options are now available for discerning investors.

If you already have an Investor Trust Evolution Savings Plan from Investors Trust SPC and it is worth £50,000 or more, 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.