Your Police Mutual. Owned by you. Run by you.

Guarantee 1

We promise to restore your investment back to its original value after five years from the end of the tax-year in which you invest, if the value of your investments made in each tax-year has decreased because of unfavourable market conditions.

Guarantee 2

We promise to lock in any growth you have achieved in each tax-year’s investment after five years from the end of the tax-year in which you invested. So at the end of the second five year period, the value of your investment is guaranteed not to be less than the new increased guaranteed amount.

So how does the Police Mutual double guarantee work?

The amount you invest each tax-year is treated separately and will always benefit from its own double guarantee.

The first guarantee will be on the 6 April five years after the end of the tax-year in which you make your original investments.

To make sure you continue to make the most of your annual ISA allowance, if you invest in your PMAS Guaranteed ISA in following tax-years your investments will always benefit from the double guarantee applied on the 6 April five years after each tax-year investment.

So if you decide to cash in your investment on a 6 April guarantee date, you will receive at least your original investment including any locked-in growth.

An example

The example below shows how the double guarantee can help to protect each of your tax-year investments.

A  You invest a total of £10,200 into the Guaranteed ISA up to 5 April 2011

B  Investment conditions prove to be favourable and the value of your
     investment, on 6 April 2016, has risen to £12,300

C  On 6 April 2016, we promise to lock-in that growth and increase your
     guaranteed amount to £12,300

D  Over the next five years, investment conditions prove to be less favourable and
     the value of your investment on 6 April 2021 has fallen to £10,800.

E  On 6 April 2021 we promise to make up the shortfall and increase the value of
     your investment back up to £12,300, the amount we locked-in on 6 April 2016

Figures are for illustrative purposes only

The amount you get back will depend on how long you invest for, the performance of the fund, our charges, any withdrawals you make, the impact of tax and the outcome of our other business activities. You can cash in your investment at any time without charge. But to give your money the best opportunity to benefit from potential growth, you should aim to leave it invested for at least five years. It’s important you remember that if you cash in your investment between the five year guarantee points, you could get back less than you have invested.

If you apply for your plan after 01 July 2010 and you're a current member of the Society or have held any of our products in the past, we'll increase the value of any regular payment or lump-sum investment you make before 1 October 2010 by 2%. So, if you are able to invest the maximum ISA allowance of £10,200, your investment value will increase by an extra £204 at no cost to you.

This means that you’ll get the superior features listed below in addition to the benefits of our Guaranteed ISA.

Increased growth potential...

...as the starting value of your investment is higher.

Increased guaranteed value...

...at the first five-year guarantee point. We guarantee your ISA will be worth more than you invested, whatever the performance of the ISA.

Increased locked in value...

...at subsequent five-year guarantee points, if the plan increases in value.

When you apply, we'll check whether you're eligible for this exclusive offer. If you do qualify, we'll automatically increase the value of any regular payment or lump-sum investment you make before 1 October 2010 by 2%.

This promotion may be withdrawn at any time.

The Guaranteed ISA is a Stocks and Shares ISA which can be used to protect a range of investment options from both Income and Capital Gains Tax. This means you can save or invest in a tax-efficient way.

Because ISAs are so tax-efficient, the Government has set limits on how much you can invest each tax-year and you should remember that the tax treatment of ISAs may change in the future.

ISA allowances from 6 April 2010

Everyone can invest up to £10,200 each tax year in an ISA.

You can decide to invest your full allowance of £10,200 in a Stocks and Shares ISA or you can invest up to £5,100 in a Cash ISA and the remainder in a Stocks and Shares ISA.

If you’ve already used your ISA allowance this tax-year, you could consider transferring your previous tax-year ISA investments into the Guaranteed ISA without affecting your current year’s allowance. However you should be aware that your current provider could charge you for transferring your investment.

Your money is invested in the Police Mutual Life Fund. The Life Fund invests in a mix of assets such as company shares, property, bonds (which are a type of loan to governments or companies) and cash.

The Life Fund is managed by a team of investment professionals who aim to take advantage of the performance of these different assets.

You can withdraw part of your investment, without charge, whenever you need to, as long as you leave £500 invested. The minimum you can withdraw is £50.

You can also cash-in your investment at any time without charge. But to give your money the best opportunity to benefit from potential growth, you should aim to leave it invested for at least five years.

It’s important to remember that if you cash-in between the five-year guarantee points you could get back less than you have invested.

You should remember that if you make a withdrawal, your Double Guarantee will be affected – see the Key Features document for more details.

You can open a Guaranteed ISA with a one-off lump-sum payment of at least £1,000 by debit card or cheque. Alternatively you can set up regular payments of at least £40 a month by direct debit or direct from your salary, in most forces.

You can also top-up your investment with payments of at least £1,000 by cheque or debit card at any time.

As you are investing in an ISA, any returns from your investment will be free from any additional capital gains or income tax.

Tax legislation may change in the future.