Standard Life’s International Bond sales approach £600 million

Standard Life International has announced that sales of its portfolio International Bond have reached £593m, with sales for the first six months of 2008 totalling £270m. This compares with sales of £284m in the whole of 2007.

Commenting on the success, Ian Searle, Business Development Manager for International Business at Standard Life, said "I am delighted that sales of our offshore bond have been so good against a backdrop of very difficult market and economic conditions. We specifically designed the product to be clean and easy to understand. By putting the customers' needs first, we have been able to demystify what has traditionally been a complex proposition."

Ian continued, "Advisers are increasingly seeing the benefits of using offshore bonds as part of mainstream financial planning, using the product to help clients with university fees planning or plans to retire abroad. It is also an extremely effective planning tool for those working outside the UK."

He concluded, "Offshore bonds have the ability to invest in wider range of investment classes than onshore bonds and, given the recent volatility of equity markets, many customers are increasingly utilising the cash deposit facility available within the offshore bond."

Standard Life's positive International Bond sales have also been supported by estate planning considerations. A range of trusts is available for use with the bond. Standard Life offers a Loan Plan, Discounted Gift Plan and Gift Plan, each with a choice of three types of underlying trust, creating a wide choice of nine trust options for customers.

Commenting on the popularity of offshore bonds with trusts, Julie Hutchison, Head of Estate Planning with Standard Life said, "Families use trusts for longer term estate planning goals, to set aside funds for future generations. Given this longer investment timeframe which is common with trusts, we have increasingly seen advisers use offshore bonds as a trust investment. The Gift Plan and Discounted Gift Plan in particular have moved ahead in 2008 compared to 2007."

Managed and serviced by Standard Life International in Dublin, the International Bond features a wide range of investment options. Advisers and their clients can choose from insured funds, a large number of mutual funds, a panel of Discretionary Fund Managers, a selection of deposit accounts and a whole of market option. The International Bond offers a transparent charging structure for clients and flexible commission options for financial advisers. Launched in the UK in March 2007, the enhanced bond builds on the success of Standard Life International's first bond which came to the market in January 2006.