EFRBS

Many tax advisers and benefit consultants have been encouraging clients to investigate the advantages of providing Employer Financed Retirement Benefit Schemes (EFRBS) to some of their employees. For the right type of employee, EFRBS can provide a more attractive benefit than a UK registered plan.

EFRBS are employer funded, offshore trust based DC plans which were introduced by the Finance Act 2004 and came into effect on 6 April 2006 (A-Day). Assets are held in offshore investments to reduce the impact of tax on investment income. All contributions are paid by the employer.

These plans are operated as bundled/full service plans, where both administration and investment services are provided. The administration uses the same team and systems as our UK DC offering. Employers can make regular contributions into the EFRBS or simply use the plan for bonus deferral lump sums. We use our Luxembourg open ended SICAV funds for EFRBS. These funds attract a very low tax levy from the Luxembourg authorities which leaves more of the investment return for employees.

The Fidelity difference

At Fidelity we have many years experience in providing investment and administration services to offshore pension plans. This experience has formed our approach to EFRBS.

As a private company we can offer stability and a long-term commitment to the DC market place
High quality in-house administration, using a single administration platform that is fully integrated with our investment dealing system
Acclaimed range of SICAV funds across equity, bond, property, balanced/diversified, and money market asset classes, covering many geographies and currencies
Comprehensive and user friendly online facility, PlanViewer, providing plan sponsors and members with full plan and fund information along with news and educational modelling tools
Dedicated UK based DC Helpdesk staffed by pensions professionals: members can contact us by telephone, email or post
Added value client management with a dedicated Relationship Director
Experience of working with third party trust companies
Plan specific investment summary guide document for your employees

Fees

Fees are determined on a case-by-case basis and will depend on the profile of the Plan and the funds selected. For information about Fidelity's fees, please contact us.