What is a GIA?

A GIA is a medium to long-term investment that could be a good option if you’ve used up your ISA allowance and don’t want to lock your money away in a pension. You’ll have access to a range of different investment opportunities and can invest a regular monthly amount, a lump sum – or both.

If you’re not sure if this account is right for you, please speak to your adviser if you have one. There may be a charge for this. 

 

What are the important things to think about?

The value of an investment, and any income you take from it can fall as well as rise, isn't guaranteed and you could get back less than you invest.

Each of the funds you choose to invest in will have its own specific risks.  Details of these are contained in the Key Investor Information Document (KIID) for each fund. It’s important to read each KIID for the funds you choose so you’re fully aware of the risks of each fund. 

Although there’s no fixed term, because the value of your invested money can fall in value, you should consider this a medium to long-term investment.  You should be prepared to hold the investment for at least five years - ideally longer.

Who can invest in an Aegon GIA?

You must be aged 18 or over and habitually resident in the UK.

Unfortunately, you can't apply for an Aegon GIA if you're a US citizen or a US tax payer.

Applications from overseas for some funds may be refused. Speak to your adviser, if you have one, to confirm if you’re eligible for your chosen investment.

Can GIAs be held jointly?

Yes, up to four individuals, who are habitually resident in the UK can invest jointly in a GIA, as long as they share the same investment service with their adviser.

Why does every customer get a GIA?

We give all of our customers access to a GIA regardless of the product they first apply for. This allows you to add money to the cash facility within your GIA to pay any charges related to other products, leaving your ISA invested to make the most of the ISA tax benefits.

How is the GIA taxed?

Unlike an ISA or pension, there’s no tax benefits for investing in a GIA. You’ll be subject to income tax on any income you’re entitled to and capital gains tax on any gains you take. The tax you’ll pay depends on your individual circumstances.

This information is based on our understanding of current taxation law and HMRC practice, which may change.

For full details on the taxation of GIAs, please refer to the GIA Key Features.

 

Are there are any investment limits?

The minimum investment amount is £1.00 and you can invest as much as you like into a GIA.

You can top up your GIA at any time. If you’re currently making regular monthly contributions, you can add as much as you’d like. If you’d like to add a lump sum, you can add this when you sign in to your customer dashboard.

 

What is the GIA cash facility?

The cash facility allows you to hold money in your GIA. This money can be used to invest into funds, to pay charges or paid out to your bank account.

Can I pay charges through the GIA cash facility?

All ongoing fees and charges for a product are paid out of the cash facility of that particular product. Any available cash is used first with any balance required being met by selling down assets in the product.

However, you can also pay for charges from other products through your GIA cash facility.

Do I get interest on any money in the cash facility?

Any money in the cash facility accrues interest which is paid on a monthly basis. Interest is paid at the Bank of England base rate less 0.05%.

How do I add money to the cash facility?

You can add money to the cash facility in three ways:

  • By logging into your customer dashboard and following the top-up journey. This lets you pay into your cash facility by debit card, bank transfer or cheque.
  • By direct debit – you need to complete an instruction to your bank or building society to pay by Direct Debit. 
  • For investments that generate income – you can choose to leave any income you get in your cash account.

Can I transfer an existing GIA to Aegon?

You can transfer funds held elsewhere to us.  

Your existing provider might charge an exit fee. Find out about the costs of transferring investment funds from your adviser, if you have one.

You can also transfer between products by moving money from your GIA to an existing ISA or to a new ISA with ourselves. This offers the option to maximise your ISA allowance if you haven't already reached your limit.

You should be comfortable with the investment choices that you make as you may lose features, protections, guarantees or other benefits when you transfer. If you’re not sure, you should get financial advice - there may be a charge for this.

Transferring or consolidating GIAs may not be the best option for you. It's up to you to decide if this is the right decision for you so make sure you compare products before transferring or consolidating. 

It's important to remember the value of your consolidated GIA can still fall as well as rise and you may get back less than you invest. 

Any new funds you move your money into will have their own set of risks that will be detailed in the fund information that will be available to you.

Can I transfer my GIA to another provider?

Yes, you can transfer to another provider.