Personal Retirement Bond (PRB)
A Personal Retirement Bond (PRB) is a single premium pension contract set up by a member of an employer sponsored pension scheme for their benefit on leaving the scheme. The value of their fund on leaving the company pension scheme is invested in the bond in their name. It is then an individual/personal contract between the holder and the pension provider. On retirement the holder of the bond can use the proceeds of the PRB to provide retirement benefits.
On retirement, the bondholder is entitled to the same options with their fund as they had under their previous employers’ pension scheme. It is usually permissible to retire from a PRB at age 50 years and onwards subject to Revenue rules.
Who can invest in a NRFM Self-Invested PRB?
Our Self-Invested PRB is available to:-
- Existing Personal Retirement Bonds holders
- Deferred members of company pension schemes
- Members of either DC or DB company pension schemes which are winding up
Investment choice, control and flexibility
As one of only a small number of self-invested Personal Retirement Bonds in the Irish market, the distinct advantage of our PRB contract is the flexibility of investment options. The holder of a NRFM Self-Invested PRB is not tied to an age/risk related ‘lifestyle’ investment strategy or a strategy defined by trustees and previous employers. The PRB holder can make his or her own investment decisions and retain control of their retirement fund.
As with all of our self-invested products, funds can be spread across a wide range of allowable investments including:
- Direct share dealing facilities through a nominee stock broking account/online platform
- Direct property and syndicated investments
- Bank deposit accounts
- Structured Products such as tracker bonds
- Institutional funds including many leading external investment managers
- A variety of collective investment schemes including unit trust arrangements
Competitive and transparent charges
The NRFM Self-Invested PRB is very cost effective for administering retirement funds. There is a simple Annual Management Charge (AMC) which is calculated by applying a percentage based on the entire fund.
For more information please refer to our PRB summary sheet or contact your Financial Advisor.