AXA Isle Of Man Launches Estate Planning Bond With Legacy Guarantees

Ian Allison

25 July 2006

AXA Isle of Man has launched an estate planning bond with an income and legacy guarantee, to protect investments in the face of market fluctations. Firstly, the income guarantee is designed to provide customers with an income for life. On choosing this option, up to 0.125 per cent of the bond value is switched each quarter into the AXA Sun Life Income Guarantee Fund. The legacy guarantee protects the value of the customer's initial investment for the beneficiaries by switching 0.125 per cent of the bond value each quarter into the AXA Sun Life Legacy Guarantee Fund. On death, the value of the Legacy Guarantee Fund is switched back into the investment funds, ensuring the value of the bond is at least equal to the customer's original investment, less any "income" withdrawals already taken. When selecting a guarantee option, intermediaries and their clients have a choice of two charging structures and around 50 funds, designed to match investment opportunities from the lower end of the risk spectrum. Kevin Dean, managing director of AXA Isle of Man said: "The new guarantees are designed to protect our customers' investments from market fluctuations and provide them with the peace of mind that their investment will be safe, whether they are looking to build a legacy or enjoy a retirement income."