Skandia Distribution Bond

The Skandia Distribution bond is a single premium unit-linked whole of life bond that provides regular ‘income’ distributions by investing in up to six distribution funds. Distribution funds are designed for the more cautious investor, however the Skandia Distribution bond gives you the flexibility to switch out of distribution funds and into funds with more equity exposure, if you want the opportunity to benefit from any growth in the markets.

Benefits

Access to market leading distribution funds managed by AXA Investment Management, Morley, New Star, Prudential and DWS.

Gives you the flexibility to switch all of your investment out of distribution funds and into equity bond funds so you have the opportunity to benefit from any growth in the markets. You can switch your whole investment back into the distribution funds at any time.

Suitable for regular withdrawals.

You can delegate fund manager selection and monitoring to Skandia by investing in the Skandia Investment Management range of funds.

Excellent prospects for your investment through our MultiManager approach within the Skandia Distribution fund structure.

Automatic life cover of up to 101% of the bid value of the bond.

Risks

We cannot guarantee the amount you will get when you cash in your bond. Some of the reasons for this include:

• you might have taken withdrawals from the bond that exceed the ‘income’ declared in a distribution fund, or exceed the growth if you have switched out of distribution funds
  
  

• if the bond is cashed in, in full or part, in the early years of its life, an extra Early Encashment Charge may apply to the units cashed in. The Early Encashment Charge could also apply on death
  
  

• the value of fund units can go down as well as up.

Who is eligible?

Available to UK residents aged over 18. There is a maximum age limit of 90 next birthday. If the bond is written under trust, the life assured may be under 18.

Minimum contributions

Minimum initial contribution: £10,000.
Minimum additional contribution: £1,000.

Term

There is no term limit. Your money can stay invested for as long as you like.

This web page is only intended as a general introduction to the Skandia Distribution Bond. Full details of the product can be found in the Skandia Distribution Bond Technical Guide available from your financial adviser.

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Information on this website is not intended for Hong Kong residents. Information on this website about Skandia Group Companies is intended for UK residents only, unless it relates to Royal Skandia, Skandia Life Norge or Suomen Sivuliike. Skandia Group companies do not offer investment advice and no information on this website should be construed as such.

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