Important Legal Information
Please ensure you take the time to read all the following important legal information.
Full terms and conditions of all products are available on request.
You may not get back the full amount of your investment.
The value of a holding in an investment fund and the income from it/the level of distributions can go down as well as up. The rate of growth of unit linked funds cannot be guaranteed.
The rate of future bonuses in the With-Profits Funds or Unitised With-Profits Fund and therefore the rate of growth cannot be guaranteed. Final bonuses can be reduced or removed. Bonuses include the effect of charges. Income from investment linked Annuities can go down as well as up. Income limits can go down as well as up.
This site is based on our current understanding of taxation, legislation and HM Revenue & Customs practice, all of which may change without notice. The value of current tax privileges of pension schemes varies according to the financial circumstances of the individual and employer (if applicable).
Charges may vary in the future.
Final Bonus may vary or be removed at any time and is therefore not guaranteed.
This site is intended for use by United Kingdom residents only.
Past Performance is no guide to the future.
For investments in a With-Profits Fund, a Market Value Reduction (MVR) may be applied to full or partial surrenders at any time in order to protect the interests of continuing policyholders against the effect of other policyholders making withdrawals in adverse investment conditions.
Annuities
High income withdrawal may not be sustainable. Taking income withdrawals may erode the capital value of the fund, especially if investment returns are poor and a high level of income is taken. When maximum withdrawals are taken, high income withdrawals may not be sustainable during the deferral period. Annuity rates may be at a worse level when annuity purchase takes place.
Bonds
If your client withdraws money within the first five years from initial investment an Early Cash-In Charge may apply (depending on your plan and except on regular withdrawals). A deduction equivalent to the early cash-in charge may apply on death for Bonds taken out from 1 October 2002 depending on the age of the persons covered.
The word "income" appears in inverted commas. This is because the regular payments available from PruFund Investment Plan, Flexible Investment Plan, Prudence Bond, Managed Investment Bond, Distribution Bond, International Prudence Bond, Prudence Inheritance Bond, Portfolio Bond or Flexible Protection Bond can be used as income for all practical purposes. However, the HM Revenue & Customs may not tax these regular payments as "income" in the way dividends or interest are taxed. Please see our 'Taxation of Bonds' leaflet which is available on request. Any "income" or withdrawal taken will reduce the value of your clients' Plan or Bond. If the "income" or withdrawals are more than any growth achieved there is a risk that the value of your clients' Plan or Bond will reduce below the level of original capital invested.
Prudence Bond/Flexible Investment Plan
If money invested in either of the With-Profits Funds is taken out at any time, including to switch to the other With-Profit Fund, except on a death claim or to meet certain regular withdrawals, the amount paid out may be reduced to reflect the current market value of the underlying assets. This is known as a Market Value Reduction and is in addition to any Early Cash-In Charge. This may mean that your client will get back less than the full amount of their investment.
If your client withdraws money within the first five years (or first three years for the Flexible Investment Plan if the option is selected at outset) from initial investment an Early Cash-In Charge will apply (except on regular withdrawals). A deduction equal to the Early Cash-In Charge may apply on death depending on the age of the persons covered. See Key Features for details.
Past Performance is no guide to the future and the rates of future bonus cannot be guaranteed.
PruFund Investment Plan
The value of your clients' plan may fluctuate and there could be times when they may not get back the full amount of their original investment. What they will receive will depend upon the value of the underlying investments, the smoothing process, whether they have the 5th Anniversary Capital Guarantee option and when they take their money out. The Capital Guarantee if applicable is applied to their plan on the 5th anniversary.
In specified circumstances we may suspend the smoothing to protect your client's investment. This would only happen if the balance between new investments, investments being cashed-in and investments switching between the two funds exceed 10% of the fund value in any 12 month period or 25% in any 30 day period. While our smoothing is suspended your client's plan value is likely to fluctuate more than normal. If this were to happen our smoothing would be suspended for a minimum of 30 days but may be longer.
Any rate shown is an indication of how we expect the PruFund Growth fund to grow over the year. The Expected Growth Rates for the funds can be found on this website and www.pru.co.uk, these are reviewed at the end of each quarter and are not guaranteed. The rate applied to your clients' investment is determined by their fund choice and whether they take regular withdrawals. We may adjust the unit price at the start of each quarter or, more rarely, during the quarter which will impact any growth they receive. This is detailed in the client key features document. The rate shown assumes an investment of £20,000 - an additional charge is made for lower amounts. An additional charge of 0.5% p.a. of the value of your clients plan applies if they select the 5th Anniversary Capital Guarantee option. This charge applies to plans started from 1 August 2005 and is not reflected in our Expected Growth Rates. Please remember that your clients' plan is designed as a long-term investment and that an early cash in charge may be applied on any withdrawals (not including regular withdrawals). These rates are net of life fund tax. Depending on your clients circumstances, when they cash in their plan they may have an additional tax liability.
Distribution Bond
The value of units and the distributions from them can go down as well as up and is not guaranteed. In some circumstances it will be necessary to cash in units in the Distribution Fund. This will occur most notably when regular "income" is required before a distribution, or the distribution is less than the amount of the regular "income" requested.
Prudential International
The registered office of Prudential International is in Ireland at Montague House, Adelaide Road Dublin 2. Prudential International is the marketing name of Prudential International Assurance plc. Registration 2099956. Tel No 003531 4765000. Prudential International provides life assurance, savings and investment products.
If the Company should become unable to meet its liabilities, the Financial Services Compensation Scheme will protect the holder of a policy who is habitually UK resident when their contract starts. This applies to contracts starting after 30 November 2001. The Financial Services Compensation Scheme will not protect holders of policies issued by the Company prior to this date.
Authorised by the Financial Regulator in Ireland and regulated by the Financial Services Authority for UK business.
Copyright
Unless otherwise stated, the copyright and any other rights in all the material on this site are owned by Prudential.
Phone Calls
We monitor or record calls for your protection and to improve our service.
There is no guarantee that any e-mail you send will be received by Prudential. The content of any email sent is not guaranteed to remain private during internet transmission.
Downloads
Software is downloaded at your own risk. Prudential does not warrant the suitability or stability of any downloaded software and can accept no liability for any problems with or damage to your computer caused as a result of you downloading software via this site. We recommend that should you have any concerns relating to software to be downloaded you should seek specialist advice before proceeding.
Personal Information
When registering and using this site we may store some of your information on your hard disk. This is known as a "cookie" and allows our systems to recognise users and tailor our site to your preferences. You can choose to delete the "cookies", however by doing this you may prevent the site from operating as intended.
About Prudential
"Prudential" is a trading name of The Prudential Assurance Company Limited, of Prudential Annuities Limited and of Prudential Retirement Income Limited. This name is also used by other companies within the Prudential marketing group, which between them provide life assurance, pensions, savings and investment products.
