Endowments – Long Term Investments header

Private Wealth Portfolio

Endowments

Features and Benefits of Private Wealth Portfolio

Enjoy the many features and benefits of Private Wealth Portfolio.

Guaranteed Growth | Features and Benefits

Key Benefits:

  • It’s flexible
  • It’s tax-efficient
  • You can make additional contributions
  • There are no surrender charges
  • You receive a death benefit
  • You have access to collateral and outright cessions
  • You receive monthly valuations
Endowments

Private Wealth Portfolios

Summary of Charges.

  • The Private Wealth Portfolio has an annual charge of 0.50%
  • A Financial Services Provider (FSP) initial commission of between 0% and a maximum of 3% + VAT
  • An on-going service and advice fee of between 0% and a maximum of 1% + VAT per annum
  • There is a tax charge on taxable income of 15% per annum
  • A tax charge on taxable capital gains of 5% per annum
  • Investment Portfolio fees are charged separately
Endowments

Private Wealth Portfolio FAQs

Find out everything you need to know about the Private Wealth Portfolio.

Q: Can I switch out of any particular investment portfolio to another?
A: Yes, your portfolio is flexible. You can choose to switch between investment portfolios at any point during the investment term.
Q: Is there a surrender charge?
A: There are currently no surrender charges levied by Hollard Wealth against the Private Wealth Portfolio. However, we do reserve the right to apply a surrender charge to cover basic administration procedures in the future.
Q: What is the minimum investment for the Private Wealth Portfolio?
A: The minimum investment for this portfolio is R500,000.
Q: Do the underlying investment portfolios have their own sub-minimum investment amounts?
A: Yes, they start from R100,000 and go up to R2 million.
Q: Will Hollard Wealth deal on any transaction?
A: Hollard Wealth deals on any transaction; for example: new investments, additional contributions, switches, surrenders and encashments, on the 1st working day of each month.
Q: Is it tax-efficient?
A: The Private Wealth Portfolio has been specifically designed as a tax-efficient investment vehicle for South African residents.
Q: Can I make additional contributions?
A: Yes. The minimum additional contribution amount will be specified by your investment manager in the investment portfolio guidelines, but may not be less than R100,000. All additional contributions are subject to current legislation.
Q: What happens if the life assured passes away?
A: Your policy will pay a benefit equal to the policy value, in the case that you’re both the applicant and the nominated life assured.

If you’ve nominated someone other than yourself as the life assured, the policy will continue to run until the death of the last life assured or until such time as the executor of your deceased estate elects to either surrender, or encash the investment.
Q: Are loans permitted against the policy?
A: Loans are not available from Hollard Life on this policy. Unfortunately, Hollard Wealth doesn’t permit a loan to be taken on the policy.
Q: Are cessions permitted?
A: Yes, security and outright cessions are permitted.
Q: What are the tax implications of this investment?
A: The Private Wealth Portfolio has been specifically designed as a tax-efficient investment vehicle for South African residents. Whilst we are unable to give individual tax advice, based on the current legislation in South Africa, it’s our interpretation that the following tax treatment is applicable:

• The value of the investment account is subject to taxation according to the ”Four Funds” tax approach applicable to South African long-term insurers

• The policy proceeds are paid out tax-free to the original policyholder
Q: When are policy valuations issued?
A: We issue valuations monthly, 30-days in arrears. You can receive historic valuations on request.
Endowments

Customer Support

Please fill out our simple form and we will contact you shortly.