AIM Inheritance Preservation Service - Managing Risks

Posted on September 2, 2011

The main risk involved with investing in AIM companies is the possibility of a decrease in the value of the portfolio, therefore eroding the capital invested.

We have sought to offset this risk in two ways. Firstly we have partnered with a highly rated fund manager with an excellent track record investing in AIM.
Secondly by offering an insurance policy which can be taken our alongside the investment which will pay out on any fall in the value of the investment at the date of death.

If the value of the underlying portfolio has remained constant but the overall investment has decreased in value due to fees and charges, including the insurance costs, then the insurance will cover this amount. This insurance can be cancelled at any time.

You will need to ensure that the insurance policy is written into trust to ensure that in the event of a claim. Therefore any payment will be outside of the estate and not liable to Inheritance Tax.

The investor will have sole ownership of the portfolio managed by Hargreave Hale and it is therefore completely segregated from the business of both Stellar Asset Management and Hargreave Hale. This is to protect our investors should Stellar or Hargreave Hale should fail in any way.