Fund Size | AMC Discount |
---|---|
Less than £100,000 | 0.35% |
£100,000 - £149,999 |
0.40% |
£150,000 - £249,999 |
0.45% |
£250,000 – £499,999 |
0.475% |
£500,000 – £749,999 |
0.50% |
£750,000 - £999,999 |
0.525% |
£1m and over |
0.55% |
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Our Trustee Investment Plan (TIP) is for Trustees of UK registered Occupational Pension Schemes and Self Invested Personal Pension Schemes (SIPPs). It allows Trustees to invest in our range of funds – to grow investments over the medium to long term.
Investments from SIPPs will be set up for a named individual – known as a “member designated” plan. Other UK registered Occupational Pension Schemes can also designate the plan to an individual member if they wish to do so. However, plans can only be member designated at the start of the plan. Clients can only access the With-Profits Fund if the plan is member designated.
For member designated plans:
Eligibility
Contributions
Maximum investment is normally £1,000,000. We may accept higher value contributions on request. For plans set up from 7 November 2011, there is no set investment term. For plans set up before this date, Selected Investment Term (SIT) applies.
Withdrawals - Trustees can:
Full and partial withdrawals from the With-Profits Fund may incur an MVR.
The Trustee Investment Plan (TIP) offers access to a broad range of funds, which includes Prudential’s Multi-Asset funds – With-Profits Fund and PruFund range of funds – which are managed by the M&G Treasury & Investment Office (T&IO), experts in asset allocation and multi-asset fund management.
Fund choices can be changed at any time. The trustee can select to invest in a maximum of six funds under each TIP plan. Note each PruFund & SafeGuard fund counts as two funds - see the Key Features document for more.
For plans set up from 7 Nov 2011, there is flexibility to invest for as long as required.
The Trustee Investment Plan allows trustees of SIPPs and Occupational Schemes outside of Prudential to invest in our PruFund range of funds and With-Profits Fund.
These multi-asset funds are not widely available.
These funds:
Find out more about the PruFund range of funds.
Find out more about the With-Profits fund.
Access additional internally and externally managed funds, which offer a range of assets to suit differing client needs.
Find out more about fund availability.
Find out more about the performance of the funds.
In an uncertain economic climate, clients may look for additional security for their investment. To address this, we offer guarantee options within our TIP.
The PruFund Protected Funds are currently unavailable to new investments.
We offer guarantees for the PruFund Protected Cautious Fund and PruFund Protected Growth Fund . At the end of the selected guarantee term the fund will be worth at least the amount your client invested (subject to charges, enhancements or withdrawals).
For investments in the With-Profits Fund, we offer a Market Value Reduction-free guarantee on any regular withdrawals or on death.
For plans set up before 7 November 2011, we guarantee not to apply an MVR when the plan is cashed in at the end of the Selected Investment Term.
We will take a charge every year for managing the plan and investments. The amount charged will depend on the funds your client invests in.
Further information on how much we charge for each fund can be found in the TIP Fund Guide which you can share with clients.
Discounts are applied to the basic AMC based on the size of the fund (Fund Size Discount):
Fund Size | AMC Discount |
---|---|
Less than £100,000 | 0.35% |
£100,000 - £149,999 |
0.40% |
£150,000 - £249,999 |
0.45% |
£250,000 – £499,999 |
0.475% |
£500,000 – £749,999 |
0.50% |
£750,000 - £999,999 |
0.525% |
£1m and over |
0.55% |
The discount to the AMC will apply to the whole of the investment, not just the portion above the threshold levels.
For more information on Fund Size Discounts see the Fast Facts document.
There are other costs which aren't covered by the Annual Management Charge. These can include, for example, maintenance costs for property investments and costs associated with investing in infrastructure, such as utilities, transport and renewable energy. These can vary over time.
Where these further costs are applicable, they’re paid for by the fund and will impact on the overall performance. Further information on the charges and costs for each fund can be found in the Fund Guide.
The PruFund Protected Funds are currently unavailable to new investments.
Find out more about the charges for guarantees on our With-Profits Fund.
Market Value Reduction
For investments in the With-Profits Fund, an MVR may apply if the client withdraws funds, switches funds or if the plan is cashed in. However, we offer an MVR-free guarantee:
*Investments in the With-Profits Fund are only available if the TIP has been set up for a named individual - 'member designated'.
Adviser charges are broken down into:
Adviser charges must be in accordance with HMRC rules and will be tested to ensure they do not exceed the relevant limit for the TIP.
This process applies to the Trustee Investment Plan – Series A (TIP)
SIPP Providers and Trustees can have access to our 'signatureless' process for the following TIP requests:
The use of a signatureless process removes the need for you to obtain a ‘wet’ signature from trustees. Nevertheless, if their internal process requires a signature then you should continue to follow this process.
This process will be reviewed regularly and may change in the future.
However, we'll only accept submissions of signatureless requests from the scheme trustee/administrator.
The table below sets out the process and any relevant further information for each type of application. Applications need not be signed unless the scheme’s internal processes require.
If you’ve completed a paper application, this along with any other requirements should also be emailed to us in the same way.
Service Request | PruAdviser Download Form | Request Via Letterheaded Paper |
---|---|---|
New Business Application | Yes | No |
Withdrawal of Units | Yes | Yes |
Adviser Charge Alteration (changes to OAC% only) | Yes | Yes |
Fund Switch | Yes | Yes |
Monetary Withdrawal | Yes | Yes |
Change to Regular Income | No | Yes |
Cancellation | Available on request | Yes |
Authorised Person for Submission of Signatureless | Scheme Trustee/Administrator | Scheme Trustee/Administrator |
Submission |
The email must clearly evidence that it is from the scheme trustee/administrator, for example it is from the company's email address and contains the company logo Complete Form Accompanying documentation
|
The email must clearly evidence that it is from the scheme trustee/administrator, for example it is from the company's email address and contains the company logo Letterheaded Instruction Accompanying documentation |