Renewed Interest in New-Style Education Bonds


Reports are emerging of a rekindled interest among advisers in a new style of education bond which has been launched during the Covid-19 pandemic.

Released by Futurity Investment Group, the new range of education bonds differs from historical offerings in a number of ways.

According to Futurity’s National Technical Sales Specialist, Richard Atkinson, one of the major innovations available in his firm’s new product range includes the offer of a Family Education Bond option, which allows the flexibility to appoint up to 10 beneficiaries under the one bond. Atkinson told Riskinfo this new offer was designed to cater not just to children but also to other family members who may be seeking to upskill or change careers.

Futurity’s Richard Atkinson …simply solving complicated problems

Atkinson says the Family Education Bond presents as a tailored, education-purposed family trust, but one which retains all the key features and tax benefits associated with traditional education or investment bonds.

In broadening the range of circumstances to which the Futurity Family Education Bond may offer a tax-effective solution, Atkinson says this can position the offer as a new option for the growing number of advisers delivering intergenerational wealth planning. He says the client market can include young families through to grandparents, for whom their children’s or grandchildren’s education costs may also extend to university fees, which can often lead to significant debt issues for today’s new generation of graduates as they embark on their careers.

a strategic tool that …can simply solve complicated problems

Atkinson characterises his firm’s new education bond range, which also includes the more conventional individual education bond offer, as a strategic tool for advisers which “…can simply solve complicated problems.”

Futurity Investment Group was previously known to the market as Australian Scholarship Group. Under its new CEO, Ross Higgins, however, the firm has undergone a significant transformation in order to revitalise and deliver what is intended to serve as a modern-day education bond solution that will offer better value and relevance for advisers and their clients – one which more closely aligns to the nature, structure and cost of school and university education in 2021 and beyond.

Atkinson says the growing number of business development managers appointed by Futurity mirrors growing adviser interest in his firm’s new offer, as does the increasing number of licensee firm recommended lists on which the Futurity Education Bond range is now beginning to appear.

Click here to access the Futurity Education Bond PDS and click the image below to access an overview of the product offer.