Taking Control of Your Retirement: Why You Should Consider a Buy Out Bond

Throughout your career, it is completely normal to accumulate scattered pension benefits as you move between different jobs. With IORP II, single-member pension schemes now face prohibitively expensive compliance burdens, causing many former employer schemes to wind up. The solution to maintaining control is a Buy Out Bond.

What is a Buy Out Bond?

A Buy Out Bond (BOB), also known as a Personal Retirement Bond, is a secure personal holding vehicle taken out in your own name. It acts as a dedicated home for old occupational pensions and is designed for individuals who have left a company or whose former scheme is being wound up. It cannot accept regular future contributions.

The Key Advantages

Absolute Control and Consolidation: A series of Buy Out Bonds can consolidate all your pension benefits, giving you total ownership rather than relying on former employers to manage your retirement wealth.

Complete Investment Freedom: Choose your investment strategy from low- or high-risk funds, managed funds, or self-directed options to match your risk appetite and goals.

Maximum Flexibility: You can transfer funds to another provider at any stage, or into a new employer scheme. You can begin drawing down retirement benefits from as early as age 50.

Estate Protection: In the event of your death before drawing on your Buy Out Bond, the full value of the funds will be paid directly to your estate.

Working with SMP Financial ensures your pension strategy is deliberate, never accidental.

Notice: The above information does not constitute advice. SMP Financial Ltd is regulated by the Central Bank of Ireland.