Today’s challenging markets mean that investors need to look for smarter ways of leveraging their money, rather than relying on interest rates available on the high street. Expert advice and management is key to securing long-term returns and Macbeth Scott & Co Life and Pension Services can provide you with the first-class guidance you are looking for to secure your financial future.

Bonds are traditionally seen as a safe investment: although their value can vary according to inflation and interest rates, they can provide investors with a regular income which incorporates a level of protection. Investment bonds are a good choice if:

  • You have a lump sum to invest (usually at least £5,000)
  • You are happy to tie up your money for at least five years
  • You understand that the value of investment can go down as well as up.


How do they work?

  • Most investment bonds last for a lifetime. Usually there is no minimum term, although you may incur a penalty if you cash in early.
  • We can provide advice on the funds to invest in.
  • At surrender, or on death, a lump sum will be paid out – the amount depends on the bond’s terms and conditions and on investment performance. Tax may be due on any capital gain made.
  • They are usually classed as a single premium life insurance policy because they pay out upon death, but are also an investment product as they can grow in value over time.
  • Each year, you can withdraw up to 5% of the amount invested without paying any income or capital gains tax.


What do I get?

Investment bonds can be onshore or offshore: the main difference being their tax liabilities. Onshore bonds are subject to UK corporation tax; offshore bonds are usually issued from tax havens outside of the UK where little or no tax is charged on the funds until the money is brought back onshore.

When you invest in a bond, you are allocated a certain number of units in the funds you have selected. You can choose to invest in a range of funds. Each fund then invests in a range of assets – such as shares and property – and the price of your units will rise and fall in line with the value of these assets.

Investing in a diverse range of funds can be an advantage in weathering the storms of market fluctuations but different assets carry different risks which need to be taken into consideration. We will consider your attitude to risk and help you if you are not sure what type of investments would suit you best.

You can also put either an onshore or offshore bond into Trust to protect it for future generations.

What is right for you?

Whether you are looking to achieve capital growth over the medium to long term (saving for retirement or for future university fees), or aiming to generate a sustainable level of income, Macbeth Scott & Co Life and Pension Services can help you achieve your financial goals at the risk level you are happy with.

We pride ourselves on our global investment strategy: we have access to the entire market so we can select different providers, funds and fund managers to create a balanced and diverse portfolio. We are completely independent with no ties, which means the advice we give will always be best for you.

Macbeth Scott & Co Life and Pension Services Limited is authorised and regulated by the Financial Conduct Authority.   You can find Macbeth Scott & Co Life and Pension Services Limited on the FCA register at

The guidance and/or advice contained in this website is subject to the UK regulatory regime and is therefore restricted to consumers based in the UK.  The FCA does not regulate tax or estate planning.  Please note that the value of investments may go down as well as up and investors may get back less than they invest.  Where these pages refer to investment performance it should be remembered that past performance is not a reliable indicator of future performance.

The Financial Ombudsman Service (FOS) is an agency for arbitrating on unresolved complaints between regulated firms and their clients.  Full details can be found at

Macbeth Scott & Co Life and Pension Services Limited is registered in England & Wales. Company number: 01144365. Registered Office: 3 New Road, Kendal, Cumbria, LA9 4AY.