The Close OPES is a multi-member international personal retirement and savings product which qualifies for an exemption from Guernsey Income Tax.
Close said the new loan facility will be available to clients from their existing plan under both the retirement and savings product options up to a maximum of 40% of a client’s sub fund or £499,000. The minimum loan value is £10,000.
The loans paid from a Close OPES can be interest free or at a fixed rate of interest of 3% above the UK base rate of interest, with the fixed rate rolled up annually and paid at the end of the loan period.
Meanwhile, segmentation allows a client to split their plan into ‘mini plans’ allowing a phased retirement which, Close said, can aid tax and estate planning. Clients will be allowed up to ten ‘mini plans’, each with a different benefit date and able to pay a different benefit type.
Claire Du Feu, product manager, Close International, said: “Close OPES International Retirement and Savings Plan allows clients to choose where and when they want to retire, with a level of income that meets their requirements, and at an age that suits them.
“The Plan is designed to create a single wealth management solution equipping advisors and clients with a highly effective tool to manage their wealth throughout their life and the lives of their successors. We believe that this product will continue to prove popular with both intermediaries and their clients.”
Close OPES can provide an upfront commission of up to 4.5% with an ongoing trail on the total assets within the plan of up to 0.75% per annum, when invested via a Close investment.
