Novia has unveiled a new product, the Global Retirement Account (GRA). The account is a defined contribution arrangement and is expected to provide flexible retirement and death benefits nominated by the member.
The plan, administered by Dominion Fiduciary Services and established under trust in Malta, is open to any qualifying investor via their intermediary. It allows investors to build pension funds through transferring appropriate existing pension arrangements and is available to all nationalities with accrued UK pensions.
Investors can transfer amounts from qualifying schemes without restrictions. The plan offers clients adviser access through its platform which helps in portfolio construction, asset allocation and risk assessment tools. It also allows for automatic rebalancing of portfolios, and switching without incurring platform fees (excluding equities). Clients will be charged the same rate as other Novia Global investments. The platform currently charges 0.60 per cent for portfolios over £500,000 falling to 0.1 per cent for portfolios over £2m.
Comment:
Novia’s latest launch is a flexible option encompassing a broad range of asset classes. It also provides a tax-efficient environment.
In the current market with a huge range of choices, investors tend to look for flexibility and ease. The product offers investors not just a retirement account that meets the conditions specified by HMRC, such as being able to accept pension transfers from appropriate UK pension schemes, but also exposure to trading across asset classes on its trading platform.
The scheme is available to investors outside the UK. However, investors should take into account the risks attached to trading across asset classes and geographies. Investments of this nature are subject to risks such as changes in monetary policy from a central bank, exchange rate fluctuations and political and economic risks.
A number of funds implement hedging strategies in order to protect the investment from currency fluctuations. However, it is always advisable to diversify investments in order to spread risks across asset classes.
The product also benefits from Novia Global’s platform that offers a multi-currency service providing access to more than 45 fund managers and fully automated 24 hour online trading. This makes it easier for clients to have access to everything in one place.
Product facts:
• Death benefits to those nominated by members
• Transfer amounts from qualifying schemes without restrictions
• Charges 0.60 per cent for portfolios over £500,000
