Glacier International simplifies offshore investment

Glacier International has launched “Navigate by Glacier International”, a simple and cost effective way to invest offshore. The solution comprises a range of carefully selected funds across different investor risk profiles.

Investors today are faced with a wide range of funds and managers, making the decision to invest offshore a daunting one. Glacier International is able to take clients through a risk-profiling exercise and thereafter provide guidance on which funds to choose. Investors will be placed in one of three risk profiles (cautious, moderate or aggressive), each of which has a list of five or six funds from which to choose. All are daily traded, actively managed funds which simplifies choice, administration, and ensures liquidity.

Navigate by Glacier International is offered as an investment option within the Global Life Plan, thereby giving investors all the associated benefits of investing within a life plan. Due to the structure of the investment, no tax is incurred within the plan for any income (interest or dividends) or capital gains.

There are estate planning advantages too. By investing via an offshore life plan issued by a South African life company, investors ensure that the investment forms part of their South African estate, thus avoiding the complications of having part of their estate located offshore.

According to Andrew Brotchie, head of product and investment, “A further enticing factor is that in most cases clients wanting to invest funds up to R1m are no longer required to obtain a tax clearance certificate, making the administration process a lot simpler.”

The funds on the Navigate option are offered at a reduced, flat administration fee of 0.3%, including custody fees. The minimum investment amount is 25 000 US Dollars, Euros or British Pounds.

“Many industry experts agree that now is a good time to invest offshore,” says Brotchie. “Returns from global investments over the past 10 years have typically not been good, but expectations are that the next decade will see a reversal of this trend. Valuations are currently generally more attractive overseas than they are locally and we believe there is value to be found in international investments.”

Glacier International is a division of Glacier by Sanlam.