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Norway – Private Wealth Portfolio

Private Wealth Portfolio offers the following additional advantages:

Policy structure 

1. Capital Insurance Option

  • There is no minimum term, so you can surrender your policy at any time. However you will be charged if you fully surrender within the first two years.
  • A death benefit of 101% of the surrender value will be paid to the appointed beneficiary.

2. Life Annuity Option

  • This option offers automatic payment options that give you flexibility in accessing the benefits of the policy. These payments must be made over a minimum six year period.
  • The minimum term is twelve years. This term includes the length of time that you may have held a previous life annuity that you transfer to us.
  • A death benefit is payable to the appointed beneficiary. This is equal to the lower of the surrender value of your policy OR the value of the premiums you’ve paid less the value of all surrender payments paid to you.

Tax efficiency 

In Norway, life insurance policies offer a high degree of tax efficiency. This is essential to optimising your Private Wealth Portfolio:

  • Tax is deferred until you make a partial surrender, a full surrender or until the proceeds are paid out on death. The tax rate applicable depends on the policy structure you select and your personal circumstances.
  • You can transfer your existing capital insurance or life annuity polices to your Private Wealth Portfolio. You may benefit from tax continuity on such transfers, so we recommend that you talk to your financial advisor to determine if this is applicable to you.
  • Private Wealth Portfolio is a very tax efficient holding structure and may be an ideal solution if you are thinking about restructuring your investments.

Residence planning 

  • The investment value of your policy is subject to Norwegian wealth tax. If you change residency, you are no longer subject to Norwegian wealth tax.
  • Private Wealth Portfolio is not considered to be a Norwegian asset and this may have advantages in the event that you become non-Norwegian resident.

Currency choice 

You can choose the currency of your investment in either Norwegian Kroner, Euro, US Dollar, Swiss Franc or Pound Sterling. The minimum initial premium is NOK 4,000,000, EUR 500,000, USD 750,000, CHF 750,000 or GBP 500,000.

The information provided is based on our understanding as at 30th May 2016. Fees and charges apply. There may be a delay in processing surrender payments where the investment portfolio contains illiquid investments. You should discuss the taxes, fees and charges applicable to Private Wealth Portfolio with your financial advisor before you apply for this product. Your financial advisor will provide you with the guidance and advice that you need to make Private Wealth Portfolio work effectively for you.