Centuria investment bond general manager Neil Rogan said it has been working alongside Implemented Portfolios to "enhance the traditional" insurance bond with a "professionally managed multi-asset portfolio" using a blend of ETFs.
"The tax effectiveness of this product has strong natural appeal to investors who have already capped out their superannuation contributions," Mr Rogan said.
"We also expect demand from those who are investing with specific goals in mind and who may need to retain some flexibility in when they can access the money – which they can’t do with super," he said.
"Whether it’s paying the children’s or grandchildren’s school fees, or helping them with life choices like funding a sabbatical," Mr Rogan said.
Centuria pointed out Implemented Portfolios have a “distinctive dynamic asset allocation” investment process which uses ETFs to manage risk at "low cost".
"Our focus on asset allocation as the driver of investment returns means that we do not expose investors to the risk of individual security selection," Implemented Portfolios managing director Santi Burridge said.
"It allows us to more clearly focus on matching client goals and objectives with the portfolio outcomes," he said.
Mr Burridge also added that working with Centuria to create the badged investment bond has brought together two key benefits for long-term investors, "efficient portfolio management and effective tax outcomes".
