RL360 Funds

No fat
for Mr Cat

We have a health conscious diet of no

bid/offer spreads, but how much cream
are other providers consuming?

For financial advisers only

RL360 Funds

The healthy option

for advisers?
At RL360 we love to make life simple for advisers. Its not
always an easy task, but with the Quantum, Paragon, Oracle
and LifePlan fund range we believe we have.
When advisers ask us the question How
much fat is in your spread? our simple
response is zero percent.

However, have you asked other providers to clarify their position?

And thats backed up by a fund range that

includes:

1. Is each of my clients premiums subject to a potential bid/offer spread?

NO mirror funds

NO custodian fees

NO switching or
redirection fees

NO initial charges
or bid/offer spreads

Just a direct fund range can that can be switched

online by investment advisers and clients alike.

If not, here are 3 good questions to ask:

If the answer is yes and your client has a regular premium policy with a provider
that charges 0.5% on entry to each of the funds they have selected then:
Premiums
USD 1,000 per month

Term
15 years

At RL360 these charges do not apply.

Bid/offer spread deductions

USD 900

2. Do each of my clients get charged a bid/offer spread when

switching from their existing funds into a new fund?
If the answer is yes, and your client switches out of their existing funds and into
new funds which have a 0.5% charge on entry then:
Switch out
Fund A

Value out
USD 71,598

Switch in
Fund B

Value in
USD 71,240

Bid/offer spread
deductions
USD 357.99

These figures assume a USD1,000 per month premium, growing at 7% a year

net of charges, with the switch taking place at the end of the 5th policy year.
Again with RL360 there are no such worries; all transactions are conducted
on a bid-bid basis.

3. Are each of my clients charged the bid/offer spread even if they

are only rebalancing?
If the answer is yes, and you client rebalances 50% of their portfolio each year
throughout the term then:
Rebalancing
frequency
Yearly

Premium and term

USD 1,000 per month
15 years

Bid/offer spread
deductions
USD 5,213

These figures assume growth of 7% a year net of charges, with rebalances taking
place at the end of each policy year. In this case these deductions amount to
2.9% of total premiums paid over the term.
But again with RL360 we dont apply these charges, so you can switch, redirect,
rebalance and take advantage of opportunities for growth as often as you decide.

If the answer to any of these questions

is yes, then your clients could be paying
significantly more in fees for accessing
funds that they wouldnt through an
RL360 policy.
Were sure that this will leave your clients
feeling less like purring and more like
theyve choked on a hair ball!
Clearly some providers may apply charges
in some instances but not in others and
equally some may follow us and not apply
charges under any of these circumstances.
But whatever the answers at least you know
that with RL360 the answer is simple.

We have produced a separate calculator

so that you can try different combinations
of answers, premium amounts, terms and
spread costs to assess what the impact
could be for your clients.
Contact your local sales manager for details.
This document only focuses on one aspect
of a products potential charging structure,
and before making any recommendations to
your client you should review and consider all
aspects of a products charging structure.
Important notes:
For financial advisers only. Not to be
distributed or relied on by retail clients.

RL360 Funds

Find out
more today
Speak to your local sales manager
and find out how we can help.
For more information visit:
www.rl360adviser.com/funds

Issued by RL360 Insurance Company Limited.

Registered Office: RL360 House, Cooil Road,
Douglas, Isle of Man, IM2 2SP, British Isles.
Telephone: +44 (0)1624 681681.
Telephone calls may be recorded.
Website: www.rl360.com
RL360 Insurance Company Limited is authorised by the Isle of
Man Government Insurance and Pensions Authority. Registered
in the Isle of Man number 053002C. A member of the Association
of International Life Offices.
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