Innovators in Pension Trusts, Trustees and Corporate Administrators

Why choose Aurora?

• Aurora Schemes are approved by HMRC and have been receiving transfers from UK registered pensions since August 2007. It is a long standing, active, major player in the QROPS market.

• Aurora Schemes are bona fide pension plans primarily to provide benefit to the member on retirement; the Trustees operate the plan on a prudent basis.

• Aurora is now in its 3rd generation with the approval by HMRC in June 2008 of the Libertaï Scheme. Aurora Libertaï is a major innovation in personal pension QROPS as the member appoints their chosen investment manager (this may even be themselves) rather than the Trustee appointing. This allows freedom of choice and avoids the need for an indemnity to be completed by the member. It also avoids lengthy compliance and approval processes by the Trustee both in initial and all subsequent investment transactions. Put in simple terms it allows the intermediary to deal with their client (and possibly any underlying bond) without continuous referral to the Trustees.

• No Guernsey taxes fall due on this scheme unless you become resident in Guernsey. So there is no Guernsey tax liability transferring in, during the life of the pension, paying benefits or on death. Compare this with the IOM schemes which have 20% tax on benefits and 7.5% on death. There may be taxes to pay in the jurisdiction in which a member is resident on receipt of benefits.

• Aurora Schemes are all personal plans, some other QROP Schemes have had difficulties as they are occupational schemes and a sham occupation is required to achieve entry into the scheme. Some such schemes have suffered enquiry by HMRC due to this weakness or because of issues with the jurisdictions legal framework in respect of pensions and taxation.

• Aurora has received no enquiry from HMRC

• Care must be taken when comparing costs on QROPS providers. Our fees are very competitive, explicit and not hidden, often you will find there are inexplicit fees and one should ask the question if I have £100,000 at day one what will I have after year one assuming no investment gain or loss? That flushes out what you are really being charged. The main Aurora, Aurora Libertaï and Libertaï Lite schemes do not take any commissions or retrocessions on underlying investments or bonds. All fees are explicit.

• Aurora does not require you to move into other unapproved schemes as part of a normal arrangement, that is usually an unnecessary and unwarranted action benefiting the provider not the member.

• Aurora fees may be negotiated for volume supply.

• We may receive protected rights and transfers from DC and DB schemes although on DB a report may be required preferably by a G60 or equivalent qualified IFA. Some schemes cannot accept protected rights.

• We are local, in the same time zone as the UK and in a well regulated jurisdiction. We welcome clients to visit our offices in Guernsey if they wish.

• We allow bonds to be used by the Aurora, some schemes do not allow this.

• We are a primary provider of QROP Schemes but we are none the less an independent company and are quick to react.

• The process on application is straightforward – our forms are generally brief and Aurora is generally formed within two working days of compliance sign off of an application arriving with full CDD and discharge papers enclosed.

• We provide back up on technical issues to our introducers and having been active in the market longer than almost everybody, we have come across most if not all issues.

• Introducers are free to use bonds or recommend investments taking trails and commissions on such, Aurora takes no part in such commission.

• The main advantages of Aurora are that after 5 complete UK tax years outside the UK, the client has flexibility on investment. There is no ASP at age 75, annuity in Guernsey is more akin to a regular payment or drawdown, no insurance annuity required, balance of funds on death pass to loved ones in accordance with member’s wishes even after benfits commence. All payments from Aurora are made gross. Aurora provides significant IHT benefits for its members.

• On the 27th October 2008 two changes to local pension rules occurred effectively stopping the possibility of Guernsey being used as a jurisdiction abusing QROPS. See “Guernsey G overnment release” document for further information.

The Aurora Product Range