There are 5 investment strategies The Dawson Investment ... · New Ireland Assurance Company plc....

New Ireland Assurance Company plc.

11-12 Dawson Street, Dublin 2T: 01 617 2000 F: 01 617 2075 E: [email protected] W: www.newireland.ie

New Ireland Assurance Company plc is regulated by the Central Bank of Ireland. A member of Bank of Ireland Group. 301206 V2.05.12

Options available

There are 5 investment strategies available to choose from which provide a choice of return and risk:• Investment Strategy A

- 100% capital security with a fixed return of 16% after 4 years and 11 months (Low Risk)

• Investment Strategy B - 100% capital security with a

minimum return of 8% and the opportunity to earn a return of up to 35% after 4 years and 11 months (Low Risk)

• Investment Strategy C - 100% capital security and the

opportunity to earn a return of up to 50% after 4 years and 11 months (Low Risk)

• Investment Strategy D - 90% capital security and the

opportunity to earn a return of up to 110% after 4 years and 11 months (Medium Risk)

• Investment Strategy E - 80% capital security and the

opportunity to earn a return of up to 170% after 4 years and 11 months (Medium to High Risk)

All returns quoted are gross of tax and net of charges.

Initial Investment Period

4 years and 11 monthsCustomers do not have access to their funds until the end of the initial investment period

Who

Suitable for investors who can invest money for a minimum period of 4 years and 11 months and who are looking to generate investment returns with varying levels of capital security.

Overview of key features

The Dawson Investment Choice Series 2Investment strategies designed to deliver strong risk management & investment returns

taking care of you...

Available to:

• Investments

• Self Administered Pensions

• Self Administered ARFs/AMRFs

While great care has been taken in its preparation, this document is of a general nature and should not be relied on in relation to a specific issue without taking appropriate financial, insurance, investment or other professional advice. The content of this document is for information purposes only and does not constitute an offer or recommendation to buy or sell any investment or to subscribe to any investment management or advisory service. If there is any conflict between this document and the policy conditions, the policy conditions will apply. Please note that mention of specific stocks/shares or investments is not a recommendation to trade in those stocks/shares or investments. The details shown relating to the Dawson Investment Choice Series 1 and its composition are as at the dates stated, and may change over time.

The Dow Jones Euro STOXX 50® is the intellectual property (including registered trademarks) of STOXX Limited, Zurich, Switzerland and/or Dow Jones & Company, Inc., a Delaware corporation, New York, USA, (the “Licensors”), which is used under license. This investment which is based on the Index is in no way sponsored, endorsed, sold or promoted by the Licensors and neither of the Licensors shall have any liability with respect thereto.

FTSE(tm) is a trade mark of London Stock Exchange Plc and The Financial Times Limited and is used by FTSE International Limited under licence. All rights in the FTSE Indices vest in FTSE and/or its licensors. Neither FTSE nor its licensors accept any liability for any errors or omissions in the FTSE Indices or underlying data. All S&P data is provided “as is”. In no event, shall S&P, its affiliates or any S&P data provider have any liability of any kind in connection with the S&P data. No further distribution or dissemination of the S&P data is permitted without S&P’s prior express written consent.

All Nikkei data is provided “as is”. In no event, shall Nikkei, its affiliates or any Nikkei data provider have any liability of any kind in connection with the Nikkei data. No further distribution or dissemination of the Nikkei data is permitted without Nikkei’s prior express written consent.

All Hang Seng Index (HSI) data is provided “as is”. In no event, shall HSI, its affiliates or any HSI data provider have any liability of any kind in connection with the HSI data. No further distribution or dissemination of the HSI data is permitted without HSI’s prior express written consent.

All BRIC data is provided “as is”. In no event, shall BRIC, its affiliates or any BRIC data provider have any liability of any kind in connection with the BRIC data. No further distribution or dissemination of the BRIC data is permitted without BRIC’s prior express written consent.

All S&P data is provided “as is”. In no event, shall S&P, its affiliates or any S&P data provider have any liability of any kind in connection with the S&P data. No further distribution or dissemination of the S&P data is permitted without S&P’s prior express written consent.

New Ireland Assurance Company plc is regulated by the Central Bank of Ireland. A member of Bank of Ireland Group.

The Dawson Investment Choice Series 2

I am looking for 100% capital security with a minimum return and the opportunity to earn a return up to 35%

I am looking for 100% capital security and the opportunity to earn a return of up to 50%

I am willing to risk 10% of my original capital to maximise the opportunity to earn a return of up to 110%

I am willing to risk 20% of my original capital to maximise the opportunity to earn a return of up to 170%

I am looking for 100% capital security with a fixed return

Investment Strategy ALow Risk

100%

Cap

ital

Sec

ure

+16%

100%

Cap

ital

Sec

ure

Up to+50%

90%

Cap

ital

Sec

ure

Up to+110%

80%

Cap

ital

Sec

ure

Up to+170%

100%

Cap

ital

Sec

ure

Min of+8%

Up to+35%

Customer Type

Upside Participation N/A 65% 100% 120% 160%

Your Capital

Investment Strategy BLow Risk

Investment Strategy CLow Risk

Investment Strategy DMedium Risk

Investment Strategy EMedium to High Risk

Capital Secure

Difference between your capital and capital security

Fixed Return at the end of 4 Years 11 months (gross of tax and net of charges)

Maximum Return at the end of 4 Years 11 months (gross of tax and net of charges)

1

The Dawson Investment Choice Series 2 is an investment solution from New Ireland designed to help you choose an investment with the right combination of capital security and potential return for you.

Introduction

Investing involves choice - the more security (or less risk) you want, the lower the growth potential of your investment; the more potential growth you want, the greater the amount of capital security you may have to forgo.

With the Dawson Investment Choice Series 2 there are 5 options for you to choose from, ranging from Investment Strategy A (Low Risk) to Investment Strategy E (Medium to High Risk):

• Investment Strategy A - 100% capital security with a fixed return of 16% after a 4 year and 11 month period. (Low Risk)

• Investment Strategy B - 100% capital security with a minimum return of 8% and the opportunity for a return of up to 35% after a period of 4 years and 11 months (Low Risk)

• Investment Strategy C - 100% capital security and the opportunity to earn up to a 50% return after a period of 4 years and 11 months (Low Risk)

• Investment Strategy D - 90% capital security and the opportunity to earn up to a 110% return after a period of 4 years and 11 months (Medium Risk)

• Investment Strategy E - 80% capital security and the opportunity to earn up to a 170% return after a period of 4 years and 11 months (Medium to High Risk)

All returns quoted are gross of tax and net of charges.

Whatever your attitude to risk and return, the Dawson Investment Choice has an option for you.

Capital SecurityNew Ireland Assurance holds a deposit with Bank of Ireland to provide the stated levels of capital security and any return on the amount invested in the Dawson Investment Choice Series 2 on 29 May 2017. New Ireland Assurance is committed to passing on to you, the policyholder, the amount received from Bank of Ireland on that date. If, for any reason, New Ireland is not repaid its deposit in part or in full on that date, you may not receive back some or all of the amount invested (including any capital secure amount) and/or your return. It is important to note that your investment is in a life assurance policy with New Ireland Assurance and you do not hold a deposit account.

Warning: The value of your investment may go down as well as up.Warning: This product may be affected by changes in currency exchange rates.Warning: If you invest in this product, you will not have any access to your money until 29 May 2017.Warning: If you opt for Investment Strategy D, you could lose 10% of the money you invest on 29 May 2017.Warning: If you opt for Investment Strategy E, you could lose 20% of the money you invest on 29 May 2017.Warning: After 29 May 2017, if you remain invested in this product you may lose some or all of the money you invest.

2

If you choose Investment Strategy A, you will receive a fixed return of 16% (gross of tax and net of charges) at the end of the initial investment period.

If you choose Investment Strategies B, C, D or E, part or all of the return on your investment is linked to the performance of global stock markets. This is done through tracking the combined performance of 6 global stock market indices as follows:

45% S&P 500 (exposure to the US stock market)

20% Eurostoxx 50 (exposure to Euroland stock market)

15% BRIC 40 (exposure to four emerging markets: Brazil, Russia, India, and China)

10% FTSE 100 (provides exposure to UK stock market)

5% Nikkei 225 (provides exposure to Japanese stock market)

5% Hang Seng Index (provides exposure to Hong Kong stock market)

The weighting in each of the market indices is as shown in this pie chart and does not change over time.

How returns are calculated

Features of indices

• Provides exposure to world stock markets

• The main focus is on the US, which continues to be the engine for world growth

• Exposure is split 80% non-eurozone, 20% eurozone, to provide a natural hedge for investors who have a lot of their wealth tied to the euro

• Non-eurozone indices are exposed to currency movements. Any weakness in the euro will increase returns; conversely any gains by the euro against foreign currencies will decrease returns

• The return of the indices over the 4 years and 11 months does not include dividend reinvestments

45%

20%

15%

10%

5%5%

3

Growth of the combined indices and participation in the growth of the indices The growth of each of the 6 indices is taken into account, in accordance with the weightings set out previously, when calculating the combined growth over the initial investment period.

This means that a rise in one index (using the specific weighting of that index as outlined in the pie chart) positively impacts the overall growth. The opposite is also true. A fall in one index (using the specific weighting of that index as outlined above) impacts the overall growth over the initial investment period.

The different investment strategies (B, C, D or E) provide for different levels of participation in the growth, if any, of the combined indices. If, for example, participation is stated to be 65% of any growth in the indices, then your return, subject to any minimum or maximum return that may apply, will be equal to 65% of the combined growth of the indices over the initial investment period. Where 100% capital security is not provided, any fall in the combined indices will impact on your return at the end of the initial investment period.

Averaging The actual returns at the end of the initial investment period (29 May 2017) are based on the average values of the underlying indices over the period of 29 May 2016 to 29 May 2017 (based on 13 monthly observations from 29 May 2016 to 29 May 2017 inclusive). This averaging protects investors’ from any last minute falls in markets as investors approach the end of the initial investment period. If there is a sudden drop in the value of any of the assets just before 29 May 2017, performance to date will be largely protected. However, reducing risk in this way may adversely impact performance should markets rise in the final year to 29 May 2017.

44

Your Investment Choices

5

Investment Strategy A - 100% Capital Security with a fixed return of 16% (gross of tax) at the end of the initial investment period

Customer type: ‘I am looking for 100% capital

security with a fixed return’

Return 16% (gross of tax and net of charges)

Capital Security 100% Capital Security on 29 May 2017

Initial Investment Period 4 years 11 months

Access No access until the end of the initial investment period

Risk Low Risk

Investment start date 28 June 2012

Capital Security 100% Capital Security

Risk Profile Low Risk

Capital SecurityNew Ireland Assurance holds a deposit with Bank of Ireland to provide the stated level of capital security and the return on the amount invested in the Dawson Investment Choice Series 2 on 29 May 2017. New Ireland Assurance is committed to passing on to you, the policyholder, the amount received from Bank of Ireland on that date. If, for any reason, New Ireland is not repaid its deposit in part or in full on that date, you may not receive back some or all of the amount invested (including any capital secure amount) and/or your return. It is important to note that your investment is in a life assurance policy with New Ireland Assurance and you do not hold a deposit account.

Warning: The value of your investment may go down as well as up.Warning: If you invest in this product, you will not have any access to your money until 29 May 2017.Warning: After 29 May 2017, if you remain invested in this product you may lose some or all of the money you invest.

100%

Cap

ital

Sec

ure

+16%

Capital Secure

Fixed return at the end of 4 years 11 months

6

Investment Strategy B - 100% Capital Security with a potential return of up to 35% (gross of tax) and a minimum return of 8% (gross of tax) at the end of the initial investment period

Customer type: ‘I am looking for 100% Capital

Security with a minimum return and the opportunity to

earn a return up to 35%.’

ReturnMaximum of 35% (gross of tax and net of charges)

Minimum of 8% (gross of tax and net of charges)




Risk Low Risk

Participation 65% of the growth in the indices


Investment Strategy B: What would happen at the end of the initial investment period to E100,000 invested given different market movements?



If indices have risen by 10% Client receives a return of €8,000 plus their €100,000: 10% x 65% = €6,500, minimum return earned as higher

If indices have fallen by 10% Client receives a return of €8,000 plus their €100,000: minimum return earned as higher

If indices have risen by 25% Client receives a return of €16,250 plus their €100,000: 25% x 65% = €16,250 return

If indices have fallen by 25% Client receives a return of €8,000 plus their €100,000: minimum return earned as higher

If indices remain flat Client receives a return of €8,000 plus their €100,000: minimum return earned as higher

The return of the indices combined needs to be approximately 54% over the 4 years and 11 months for the maximum return to be earned. If the indices fall over the initial investment period, you will receive your original amount invested and the minimum return of 8%.

All returns shown in the examples above are quoted gross of tax and net of charges.

Capital SecurityNew Ireland Assurance holds a deposit with Bank of Ireland to provide the stated level of capital security and the return on the amount invested in the Dawson Investment Choice Series 2 on 29 May 2017. New Ireland Assurance is committed to passing on to you, the policyholder, the amount received from Bank of Ireland on that date. If, for any reason, New Ireland is not repaid its deposit in part or in full on that date, you may not receive back some or all of the amount invested (including any capital secure amount) and/or your return. It is important to note that your investment is in a life assurance policy with New Ireland Assurance and you do not hold a deposit account.

Warning: The value of your investment may go down as well as up.Warning: This product may be affected by changes in currency exchange rates.Warning: If you invest in this product, you will not have any access to your money until 29 May 2017.Warning: The figures illustrated are estimates only. They are not a reliable guide to the future performance of your investment.Warning: After 29 May 2017, if you remain invested in this product you may lose some or all of the money you invest.

100%

Cap

ital

Sec

ure

Min of+8%

Up to+35%

Capital Secure

Maximum return at the end of 4 years 11 months

7

Investment Strategy C - 100% Capital Security with a potential return of up to 50% (gross of tax) at the end of the initial investment period

Customer type: ‘I am looking for 100%

capital security and the opportunity to earn a return

up to 50%.”

ReturnMaximum of 50% (gross of tax and net of charges)

Minimum of 0% (gross of tax and net of charges)




Risk Low Risk

Participation 100% of the growth in the indices


Investment Strategy C: What would happen at the end of the initial investment period to E100,000 invested given different market movements?



If indices have risen by 10% Client receives a return of €10,000 plus their €100,000: 10% x 100% = €10,000

If indices have fallen by 10% Client receives back their €100,000 : 100% capital security applies


If indices have fallen by 25% Client receives back their €100,000: 100% capital security applies

If indices remain flat Client receives back their €100,000: 100% capital security applies

The return of the indices combined needs to be at least 50% over the 4 years and 11 months for the maximum return to be earned. If the indices fall over the initial investment period, you will receive back 100% of the original amount invested.


Capital SecurityNew Ireland Assurance holds a deposit with Bank of Ireland to provide the stated level of capital security and any return on the amount invested in the Dawson Investment Choice Series 2 on 29 May 2017. New Ireland Assurance is committed to passing on to you, the policyholder, the amount received from Bank of Ireland on that date. If, for any reason, New Ireland is not repaid its deposit in part or in full on that date, you may not receive back some or all of the amount invested (including any capital secure amount) and/or your return. It is important to note that your investment is in a life assurance policy with New Ireland Assurance and you do not hold a deposit account.

Warning: The value of your investment may go down as well as up.Warning: This product may be affected by changes in currency exchange rates.Warning: If you invest in this product, you will not have any access to your money until 29 May 2017.Warning: The figures illustrated are estimates only. They are not a reliable guide to the future performance of your investment.Warning: After 29 May 2017, if you remain invested in this product you may lose some or all of the money you invest.

100%

Cap

ital

Sec

ure

Up to+50%

Capital Secure


8

Investment Strategy D - 90% Capital Security with a potential return of up to 110% (gross of tax) at the end of the initial investment period

Customer type: ‘I am willing to risk 10% of my

original capital to maximise the opportunity to earn a return up

to 110%.’

Return Maximum of 110% (gross of tax and net of charges)




Risk Medium Risk

Participation 120% of upside growth in the indices 100% of downside in the indices (subject to 90% capital security)


Investment Strategy D: What would happen at the end of the initial investment period to E100,000 invested given different market movements?


Risk Profile Medium Risk


If indices have fallen by 10% Client receives a return of €90,000: 90% capital security applies


If indices have fallen by 25% Client receives back €90,000: 90% capital security applies

If indices remain flat Client receives back €100,000

The return of the indices combined needs to be approximately 92% over the 4 years and 11 months for the maximum return to be earned. If the indices fall over the initial investment period, you will receive back at least 90% of the original amount invested.



Warning: The value of your investment may go down as well as up.Warning: This product may be affected by changes in currency exchange rates.Warning: If you invest in this product, you will not have any access to your money until 29 May 2017.Warning: If you choose Investment Strategy D, you could lose 10% of the money you invest on 29 May 2017. Warning: The figures illustrated are estimates only. They are not a reliable guide to the future performance of your investment.Warning: After 29 May 2017, if you remain invested in this product you may lose some or all of the money you invest.

90%

Cap

ital

Se

cure

Up to+110%

Capital Secure



9

Investment Strategy E - 80% Capital Security with a potential return of up to 170% (gross of tax) at the end of the initial investment period

Customer type: ‘I am willing to risk 20% of my

original capital to maximise the opportunity to earn a return up

to 170%.’

Return Maximum of 170% (gross of tax and net of charges)




Risk Medium to High Risk

Participation 160% of the growth in the indices 100% of downside in the indices (subject to 80% capital security)


Investment Strategy E: What would happen at the end of the initial investment period to E100,000 invested given different market movements?


Risk Profile Medium to High Risk


If indices have fallen by 10% Client receives a return of €90,000: 10% fall impacts what customer get back


If indices have fallen by 25% Client receives back €80,000: 80% capital security applies

If indices remain flat Client receives back €100,000

The return of the indices combined needs to be approximately 106% over the 4 years and 11 months for the maximum return to be earned. If the indices fall over the period, you will receive back at least 80% of the original amount invested.

All returns shown in the examples above are quoted gross of tax and net of charges


Warning: The value of your investment may go down as well as up.Warning: This product may be affected by changes in currency exchange rates.Warning: If you invest in this product, you will not have any access to your money until 29 May 2017.Warning: If you choose Investment Strategy E, you could lose 20% of the money you invest on 29 May 2017. Warning: The figures illustrated are estimates only. They are not a reliable guide to the future performance of your investment.Warning: After 29 May 2017, if you remain invested in this product you may lose some or all of the money you invest.

Up to+170%

80%

Cap

ital

Se

cure

Capital Secure



10

Frequently Asked Questions

n Who can invest? n �Investors:� �� To�invest,�you�must�be�living�in�the�Republic�of�Ireland�and�aged�between�

18�and�75�(next�birthday).�In�the�case�of�joint-life�policies,�the�younger�of�the�two�investors�must�be�aged�75�or�under�(next�birthday).

� �n� �Self administered pensions.� �n� �Self administered ARF/AMRF’s.

n What is the minimum investment amount?� The�minimum�investment�is�€10,000.

n Is this investment suitable for me?� �If�you�are�satisfied�that�you�will�not�need�access�to�your�investment�for�4�years�and�11�months�and�are�looking�for�an�investment�that�provides�a�specified�level�of�capital�security�at�the�end�of�the�initial�investment�period�and�good�growth�potential,�then�the�Dawson�Investment�Choice�Series�2�may�be�suitable�for�you.

n How long do I invest for?� �Your�chosen�strategy�has�an�initial�investment�period�of�4�years�and�11�months.�The�closing�date�is�22�June�2012�(but�it�may�close�early�if�over�subscribed)�and�we�will�start�the�investment�on�28�June�2012.�The�end�of�the�initial�investment�period�is�29�May�2017.

n What charges do I pay?� �The�charges�include�our�costs�of�setting�up�and�running�your�investment.�Please�refer�to�the�Key�Features�document�for�more�details.

n Can I cash in my policy early?� �No,�this�is�a�minimum�term�investment.�You�will�only�get�access�to�your�funds�at�the�end�of�the�initial�investment�period�of�4�years�11�months.

n What happens at the end of the initial investment period?� �At�the�end�of�the�initial�investment�period�(29�May�2017)�we�will�switch�the�value�of�your�investment�into�one�of�our�cash�funds.�At�this�time,�you�can:

� 1.�cash�in�your�investment� 2.�remain�invested�in�the�cash�fund,�or� 3.�switch�to�other�funds�made�available�to�you�at�that�time.

11

n What tax do I pay?� �The�tax�rate�for�personal�investors�is�currently�33%�(May�2012)�of�any�growth�on�your�investment.�We�will�pay�this�tax�for�you�to�the�Revenue�from�any�profit�your�investment�makes.�This�tax�will�be�paid�if�you�choose�to�encash�your�policy�after�the�end�of�the�initial�investment�period�of�4�years�11�months,�on�transfer�of�ownership�of�your�Dawson�Investment�Choice�Series�2�policy,�on�your�death�or�at�the�end�of�every�8�year�period�from�the�start�of�your�policy.

� �Where�taxes�or�other�levies�are�imposed�by�Government,�these�will�be�collected�by�New�Ireland�Assurance�and�passed�to�the�Revenue�Commissioners.�The�current�levy�on�life�assurance�premiums�is�1%�(May�2012).�New�Ireland�will�pay�this�levy�in�respect�of�the�initial�amount�invested�by�you.

n What happens to my investment if I die?� �If�you�die�or�in�the�case�of�joint-life�policies,�if�both�investors�die�while�the�investment�is�in�force,�we�will�pay�100.1%�of�the�value�of�your�policy�on�the�day�after�we�receive�written�notification�of�death.�If�death�occurs�during�the�initial�investment�period�of�4�years�11�months,�the�benefit�payable�will�be�at�least�equal�to�the�initial�investment�amount.

n What if I change my mind?� �You�have�a�cooling�off�period�of�30�days�commencing�on�the�date�of�issue�by�New�Ireland�of�your�policy�document.�Within�this�period�if�you�change�your�mind,�you�can�close�your�investment.�The�amount�invested�with�New�Ireland�will�be�refunded�less�an�adjustment�for�any�downward�movement�in�the�price�from�the�date�of�policy�commencement�to�the�date�of�cancellation.

n Who provides the capital security and returns?� �New�Ireland�Assurance�holds�a�deposit�with�Bank�of�Ireland�to�provide�the�stated�levels�of�capital�security�and�any�return�on�the�amount�invested�in�the�Dawson�Investment�Choice�Series�2�on�29�May�2017.�New�Ireland�Assurance�is�committed�to�passing�on�to�you,�the�policyholder,�the�amount�received�from�Bank�of�Ireland�on�that�date.�If,�for�any�reason,�New�Ireland�is�not�repaid�its�deposit�in�part�or�in�full�on�that�date,�you�may�not�receive�back�some�or�all�of�the�amount�invested�(including�any�capital�secure�amount)�and/�or�your�return.�It�is�important�to�note�that�your�investment�is�in�a�life�assurance�policy�with�New�Ireland�Assurance�and�you�do�not�hold�a�deposit�account.

12

Next Steps

To�find�out�more�about�the�Dawson�Investment�Choice�Series�2�please�contact

Your Financial Advisor

Call us on 1890 405 905

www.newireland.ie

To�improve�our�service�to�you,�calls�may�be�recorded.

MG

There are 5 investment strategies The Dawson Investment ... · New Ireland Assurance Company plc....

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