CMI Global Investor product details

Investment amounts

The minimum investments amounts (or currency equivalents) are:

Currency	Initial Investment	Additional Investment
Pounds Sterling	£100,000.00	£5,000.00
US Dollars	$150,000.00	$7,500.00
Euros	€150,000.00	€7,500.00

We may review the minimum initial and additional investment amounts from time to time.

Additional investments

You can make additional investments at any time subject to the minimums shown above. However, we reserve the right to decline additional investments if CMI Global Investor is no longer available for new investors.

Currencies

CMI Global Investor can be denominated in pounds sterling, US dollars or euros. Your quarterly statement and charges are shown in the base currency of the bond

You can invest in assets denominated in other currencies. Full details of the acceptable currencies are available upon request. Please remember that currency exchange fluctuations can have an effect on the value of the investment.

The cash account

The cash account is a key part of CMI Global Investor. It works just like a bank account and its purpose is to facilitate monetary transactions in and out of the bond. It is not designed as an investment option. All money paid in or out of CMI Global Investor passes through the cash account, including all new investments, income received in the form of dividends or investment credits and proceeds when investments are sold. All charges, fees and withdrawals are deducted from the cash account balance.

The cash account is automatically set up in the base currency of the bond when the bond is taken out. Additional cash accounts are available in most major currencies to allow investment in funds other than in the bond base currency.

It is important to make sure that there is enough money in each cash account to pay for charges and fees and to cover regular withdrawals. If the cash account goes overdrawn you may not be able to make new transactions or buy assets and you will also be charged interest on the overdraft.

When the cash account is in credit it earns interest at 2% below the currency base rate. There is an overdraft facility of £5,000 (US$7,500; €7,500) and debit interest is currently charged at 4% above the currency base rate.

It is the policyholder’s or their appointed investment adviser‘s responsibility to manage each cash account to make sure they stay in credit.

How to manage the cash account

Overdrawn accounts usually occur through the deduction of fees and regular withdrawals. There are several ways help maintain a credit balance:

1. Allocate part of the initial investment to the cash account.
2. Choose investments which pay an income.
3. Set up a standing instruction to fund the cash account using our regular dealing facility. This way you can redeem a set amount from one or more of the underlying investments on a regular basis.
4. Sell some assets.
5. Make an additional investment.
6. Closely monitor and manage cash balances - especially across multiple cash accounts.
7. Select the appropriate cash account to fund an investment purchase.
8. Pay proceeds from investment sales to other currency cash accounts.

For more information please read our Management of Cash Accounts leaflet.

Life cover

CMI Global Investor is a whole of life assurance policy which is available on a single or multiple life assured basis. The bond can have up to eight individuals as joint lives assured. Please note that special conditions may apply if one or more of the lives assured are not in good health or if the lives assured are aged 64 or over at the start of the bond.

What happens in the event of death?

In the event of the death of either the bond owner or a life assured, please send us an original death certificate by post so that we can update our records. We will return the death certificate to you within 5 working days and notify you of any additional requirements. We are unable to accept certified copies of a death certificate due to Crown copyright.

Making a claim

If the relevant death triggers a claim (please refer to the event specified on the policy certificates), please advise us in writing as soon as conveniently possible. We will then notify you of the documentation needed to process the claim, which may include the following:

• A copy of Manx Grant of Representation*.
• A completed Verification of Signature Form. This must be completed by the Personal Representative/Executor as legal owner of the policy.
• Anti-money laundering documentation for Personal Representative/Executor.
• Completion of our Form of Authority & Discharge by the claimant(s).

*The bond is a Manx asset and CMI Insurance Company Limited therefore requires a Grant of Representation issued by the Isle of Man Probate Office. Manx Advocates can make this application if required. We regret that we are unable to recommend individual firms of Manx Advocates but full details of firms specialising in probate are available from:

Isle of Man Law Society
27 Hope Street
Douglas
Isle of Man
IM1 1AR
Tel: 01624 662910
Fax: 01624 679232
Email enquiries: enquiries@iomlawsociety.co.im.

Fees for making the application to the Probate Office and procuring the Grant of Probate or Letters of Administration are likely to be in the region of £175 plus VAT, although Advocates may reserve the right to charge additional fees. The Advocates will also require payment of the fee charged by the Isle of Man Government for issuing the Probate. The fee depends on the size of the Manx estate (see table below). Please note these fees are subject to change.

Amount	Charge
Under £2,800	Nil
Between £2,801 and £21,000	£40.20
Between £21,001 and £70,000	£126.20
Between £70,001 and £140,000	£249.20
Between £140,001 and £200,000	£416.20
Exceeds £200,000	£539.20

The Isle of Man Registry levies a charge of £13.00 for settling and approving a draft application.

There will also be a small governmental copy charge of £1.20 for a copy grant that should be added to the appropriate court fee.

Assignments

You can choose to change the ownership of your bond and assign it to a third party at any time. For example, you may wish to assign your policy to a spouse or a dependant. We recommend you consult your financial adviser before assigning your bond to make sure any tax implications are assessed.

If you would like to assign your bond please complete a draft deed of assignment form. You'll find details on how to complete this in the left hand margin of the form.

If your bond is held in trust, a separate deed may be required. Please note that we may need to refer you to your legal adviser.

Segmentation

CMI Global Investor is set up as a series of identical policies, known as segments, designed to give you maximum flexibility and the ability to minimise tax liability. The maximum number of segments is 100 and the bond is automatically set up on this basis subject to a minimum investment in each segment of £5,000 (US$7,500; €7,500).

Taxation

Please contact your financial adviser to discuss your tax position and any possible tax implications before investing in CMI Global Investor.

Please remember that you may be liable to personal tax when benefits are taken from the bond.

UK resident individuals or trustees may be liable to income tax on gains arising from the bond on encashment and on some withdrawals.

A 'chargeable gain' and therefore a tax liability may arise:

• If the bond is cashed in totally or assigned for money, or money's worth (eg. the bond is sold or traded to a third party).
• If partial encashments or regular withdrawals in any year exceed 5% of the amount invested. This amount is cumulative so if a bond owner does not take any withdrawals in policy years 1-4, he or she could take 25% in policy year 5 with no immediate income tax liability arising.
• If the cumulative total of partial encashments or regular withdrawals exceeds 100% of the amount invested.
• On payment of the death benefit.

Profits (gains) from a CMI Global Investor held by a company in the UK may be liable to corporation tax.

Please note that CMI Insurance Company Limited is unable to offer personal taxation advice. The above information is for guidance for UK resident policyholders only and is based on our current understanding of the law and HM Revenue & Custom’s practice.