Single Premium Insurance
Many financial providers offer investment bonds, which are lump sum investments managed by a life company. Technically, these investments are known as a "single premium whole of life assurance bonds". They can be invested in a with profit fund, attracting certain guarantees, or be unit linked and track a certain market.
Income from the investments is normally reinvested into the underlying fund, giving the investor the benefit of capital growth. Some policies offer an income facility, which is often provided by the encashment of units.
|Unit Linked Policies||With Profit Policies|
|Also linked to insurance policies, these investments don't have the same guarantees as the previous category.
|Looking to protect yourself from losses? These might be of interest to you.