A modern day Investment Account for tax-efficient and cost-efficient investment management
January 2017
Cornhill’sFlexMax Investment Account
About Cornhill
100,000 clients worldwide
100 employees
$1.05 billion under management
established 1997
headquartered in Luxembourg
40+ countries
160+ adviser firms
www.1cornhill.com
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CORNHILL OVERVIEW
Group: $1.05bn AUM
Platform 650m
Funds 400m
Platform 62%
Funds 38%
Funds: $400m AUM
Multi-Asset 59%
Alternatives 26%
Equities 15%
Multi-Asset 189m
Alternatives 150m
Equities 61m
- Emerging Markets 30m
- Global Equities 31m
Platform includes contracted future commitments Source: Cornhill, data to 30 Sept-16
100% privately owned group founded by Derek Chambers
Multi-platform fund range – Luxembourg and Guernsey domiciled
Backing talented local investment boutiques with limited working capital and credible infrastructure
MiFID compliant fully regulated open architecture fund platform
Cornhill operates a multi-boutique platform offering a range of investment capabilities across asset classes
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Cornhill Luxembourg funds are UCITS IV regulated under CSSF
and open to retail and institutional investors
Cornhill investment account and regular investment
accounts regulated in European Union and fully MiFID compliant
For more information on Cornhill’s MiFID cross-border EU licence go to:
https://register.fca.org.uk/ShPo_FirmDetailsPage?id=001b000000NMUX9A
AP
Cornhill Shariah funds are regulated by the Guernsey FSC
(equivalent of the UK’s FCA) and have UK NPPR Marketing status
(National Private Placement Regime under AIFMD)
Regulatory structures for Cornhill funds
CORNHILL OVERVIEW Continued
The Cornhill family of investment funds domiciled in Luxembourg and Guernsey:
Emerging markets funds – UCITS – Africa, China, India, Latin America, South-East Asia
Ethical funds – NON-UCITS – Global Equity, Asian Pacific Equity (Shariah compliant)
Multi-Asset fund – SICAV SIF – Amathus
Alternative funds – Securitisation vehicles –Lombard 82, Paraiba, Xantis, Theseus
Cornhill’s FlexMax – a low-cost MiFID-compliant investment account for open architecture fund dealing for lump sums and regular investment
Cornhill’s advisory asset management service – CMAS – for clients with more thanGBP 250,000 to invest
Cornhill NEW Lifestyle – a regular investment plan for savers and retirement savings
We create and build tailor-made funds for clients (IFAs and institutions)We can even seed the funds giving fund advisers their break through opportunity
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PRODUCT ENGINEERING
TO BE UPDATED
Russia
Argentina
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INTERNATIONAL COVERAGE
The following fund custodians are used by Cornhill to invest client’s money efficiently into the various international investment funds:
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CORNHILL’s FLEXMAX FUND CUSTODIANS
Introducing Cornhill’sFlexMax Investment Account
No dealing charges for investment transactions if 35% of Client’s money is
allocated to Cornhill designated funds or portfolios, or if invested to funds where trail fees are generated through Cornhill’s FlexMax platform
Minimum investment only £20,000 / €25,000 / $30,000
Maximum flexibility – more than 40,000 investment funds, ETFs, bands and shares available
Low cost structure – clients may only pay GBP 50 per annum if using Cornhill designated funds or portfolios
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Suitable investment wrapper for QROPS, SIPPs, QNUPS, Offshore Trusts
FLEXMAX – CLIENT BENEFITS
No overdraft interest charged to client’s accounts
A competitive onshore EU alternative to an offshore portfolio bond
Tax-efficient for those returning to UK
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No sales charges on investment into the majority of investment funds on the
FlexMax platform
FLEXMAX – CLIENT BENEFITS
Because Cornhill’s Brokerage and Investment accounts are
NOT offshore insurance products,
but ARE onshore EU MiFID-compliant,
any gains achieved whilst not a tax payer in the UK and crystalised before becoming a UK tax resident, may be withdrawn in full after arrival in the UK tax free.
There is no need to be stuck with a Capital Redemption Bond for 20 years, when all you need to do is to take OUT a FlexMax Investment Account before returning to the UK to maximize your tax efficiencies on earnings made abroad.
We can arrange for a specific tax opinion for any client returning to the UK, upon request.
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MAXIMISE TAX EFFICENCIES IF RETURNING TO THE UK
V
Off shore Life Company
Investment funds and bonds
INSURANCE COMPANY
Investment funds and bonds
Mirror funds and bonds
ON SHORE EU = the future OFF SHORE EU = the present
For more information on Cornhill’s MiFID cross-border EU licence go to: https://register.fca.org.uk/ShPo_FirmDetailsPage?id=001b000000NMUX9AAP
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INVESTOR PROTECTION –SEGREGATION OF ASSETS
HIGHLY COMPETITIVE FEES FEE APPLIED PAYABLE WHEN
Annual Management and Supervision Fee
100% open architecture:
0.30% with min fee £300 and max £2,000;
With 35% invested into Cornhill funds:
0.20% with min fee £200 and max £2,000;
With 65% invested into Cornhill funds:
0.10% with min fee £100 and max £2,000;
With 100% invested into Cornhill funds:
Flat fee of £50
Per annum in advance
Establishment Fee
(IF APPLICABLE)0.25% Per quarter for UP TO 12 years
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OPEN ARCHITECTURE FEES
▪ A flexible medium-term debt instrument
▪ Issued and traded in Europe
▪ Usually has fixed interest payments
▪ EMTNs are issued directly to market
▪ Typical maturities of less than five years
▪ Offered continuously rather than all atonce like a bond issue
12% EMTN
88% other funds
The EMTN forms part of the client’s diversified investment portfolio –it is 100% capital protected and delivers a fixed return of at least 4% for Series 6 GBP
but can be higher if 20% is invested using Series 7 to earn 8% per annum
Example portfolio: EMTN or Euro Medium Term Note explained:
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LOMBARD 82 EMTN IndexLinked NOTE
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FLEXMAX ILLUSTRATION SYSTEM www.flex-max.eu
Administration and Online access
View transaction histories, performance charts and more for Cornhill Funds investments, FlexMax Investment Account investments, and Cornhill’s Regular Investment products
Online you and your clients may
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ONLINE ACCESS
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TAB 1: PORTFOLIO COMPOSITION AND VALUATION
All accounts amalgamated into one view under the first account opened:
Valuation history chart for the ‘one account’ now available
Allocation break down also now available by asset class and geographical location
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VALUATION HISTORY AND ALLOCATION BY ASSET CLASS AND GEOGRAPHY
Conclusions
FlexMax is an onshore EU product
Competitive in terms of pricing for Clients
More than 40,000 investment choices available
but anything with an ISIN can be purchased
Normally no dealing charges for investment transactions
FlexMax can also fit under many Trust partners products (SIPP/QROPS etc)
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KEY THINGS TO TAKE AWAY
Low cost structure
£50 FLAT FEE Applied when 10% is invested into Lombard 82 EMTN and
90% into Cornhill-designated Investment Funds
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FLEXMAX – CLIENT BENEFITS
Cornhill’s FlexMax Investment Account
Speak to your Cornhill Sales Representative to find out more
Cornhill Management Ltd1 Cornhill, London, EC3V 3ND, United Kingdom
E-mail: [email protected]
www.flex-max.eu
www.1cornhill.com
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