Bonds after the abolition of the 5% rule

Buzz

Results of the latest Incisive Buzz survey

The latest research from Incisive Buzz asks: Is there a future for investment bonds if the 5% rule is abolished? Those who stated yes made these additional comments: • Long-term investments can be switched without tax or significant cost. • It will remain more tax-efficient than an Oeic or unit trust for higher-rate taxpayers using fixed-interest funds. • They are still arguably the best type of investments to hold in trust. • Bonds also protect the value against long-term care but not the income. • Offshore/IHT trust-based. • A fixed known level of income is still important. This...