FAQ
Q. “What charges and expenses are there for investing in an Account?”
A. All charges are taken into account when an Account is opened and are reflected in the terms of the Account. However these charges make no allowance for any charges that the offshore bond provider may levy. A Bondholder should read their personal illustration, key features and product guide relating to such offshore bonds to check the charges that will be applied.
Barclays will not make any further charges relating to a deposit, unless necessary to take into account any significant taxation changes that may affect the Account prior to the Maturity Date.
Q. “Is the Bondholder investing into the Account?”
A. No. It is the offshore bond provider who invests directly into the Account. The offshore bond provider then links the performance of the Bondholder’s selected assets to the overall performance of the offshore bond.
Q. “Can an Account be purchased directly, outside of an offshore bond?”
A. No, these Accounts can only be purchased to be held within an offshore bond from an offshore bond provider.
Q. “Can money be withdrawn before the Account matures?”
A. Remember individuals do not actually invest in the Account but have the returns of the offshore bonds they invest in linked to the Account. Any withdrawals from the offshore bond will be dealt with in accordance with policy conditions relating to the offshore bond. In the event of an offshore bond provider withdrawing a deposit early from the Account, Barclays will calculate and forward an Early Closure Amount. This Early Closure Amount will represent the amount of the deposit less the cost of terminating any related transactions, which will be determined by market conditions prevailing at the time the Account is closed (including, but not limited to, interest rates and the levels of the Indices). It might be less than the amount invested by the offshore bond provider.
Q. “Is there a cost for the protection?”
A. The protection only applies if the investment is held for the full term. The cost of this is reflected in the terms offered within the Account. Returns could be greater without this protection but the return on and the value of your deposit would be at risk.
Q. “What happens if the investor dies?”
A. If a Bondholder dies before the proceeds of the Account are available and the offshore bond is surrendered, Barclays will pay the value then to the offshore bond provider upon request. In such an event, it might be less than the amount invested.
Q. “What if the investor wishes to invest in another currency other than those available?”
A. Unfortunately the Account is only available for Sterling, US Dollar and Euro based deposits.
Q. “How is the maturity value of the Account reflected in the offshore bond?”
A. Although the Account is designed to produce the advertised returns, a Bondholder should consult with their financial adviser to understand how these returns are reflected in their offshore bond.
Q. “How is IFA commission paid?”
A. Commission is not paid directly by Barclays for recommending this product. Any commission due will be paid by the offshore bond provider as per the agreed terms between the IFA and the offshore bond provider.
Q. “What if I have any further questions?”
A. An IFA with any further questions should not hesitate to contact the offshore bond provider or the Offshore Solutions Team.