Life insurance firms offer investment bonds, also called ‘wrappers’, which pictures an empty container full of different collectives you want to keep in a single place. This kind of bond provides many benefits:
- All funds are managed within one place.
- The reduction of certain taxes – such as Capital Gains Tax, when you shift from collectives or even Inheritance Tax.
- The life company possesses a degree of purchasing power which enables it to buy funds at very low prices.