AXA Framlington inheritance tax portfolio service

Given the rise in house prices and stockmarkets in recent years, it is now even more likely that the wealth you leave to your family will be  significantly reduced by Inheritance Tax (IHT).

The AXA Framlington  Inheritance Tax Portfolio Service is designed to reduce this tax liability with the potential to grow your overall level of wealth.

The service

Having discussed your specific requirements with you, our investment team will create and manage a bespoke investment portfolio on your behalf. Along with generating investment returns, the key objective will be to reduce your IHT liability by harnessing the tax benefits of assets that qualify for Business Property Relief. These include many shares in companies listed on the UK’s Alternative Investment Market (AIM) – a market in which AXA Framlington has a long and successful track record.

The benefits

• Qualifying shares that have been held for two years at the date of death will be removed from an estate for IHT purposes
• Your portfolio will be bespoke and constructed to suit your investment objectives
• It will be managed by 2 private client investment managers and supported by the AXA Framlington UK investment team
• You will have direct access to the portfolio managers who are making the investment decisions on your behalf
• You will be kept up to date through regular face-to-face meetings, valuations and transaction reports
• You retain full access to your capital, with the option to withdraw all funds at any time
• Income or a fixed amount can be withdrawn each quarter
• We provide a full investment audit trail for probate purposes
• We will actively manage your portfolio, within the current tax rules, with a view to preserving your portfolio’s IHT-exempt status
• These assets should also qualify for Accelerated Business Asset Taper Relief
• Low minimum investment of £100,000.

Risk warning

An Inheritance Tax Portfolio should be regarded as a higher risk, long-term investment suitable only for investors with financial security independent to any investment being made. Professional advice should be obtained prior to investing.

Any relief from Inheritance Tax that may be available by investing in AIM listed securities is subject to a two year holding period. If you die within the first two years of investment your beneficiaries may not gain any Inheritance Tax mitigation from this service.

AXA Framlington is not a tax specialist or tax adviser and cannot guarantee that all investments made will qualify for Business Property Relief or Business Asset Taper Relief, or indeed if they do initially qualify, that they will continue to do so.  Tax rules may change in the future without notice.

Companies eligible for Business Property Relief are unquoted companies or qualifying companies listed on AIM or PLUS (formerly OFEX). Investment in such shares carries a higher degree of risk. There is no certainty that prices will be quoted for shares at all times. It may be difficult to effect transactions at the price quoted (if any) and the shares may not be dealt or traded in under the rules of a recognised or designated exchange. Such dealing may be infrequent or irregular.

Past performance is not a guide to future performance. The value of shares purchased and any income derived may go down as well as up and investors may not get back the full amount invested. Changes in exchange rates will affect the value of investments made overseas.