- AJ Bell Investcentre launches discretionary gift trust and absolute gift trust, with discretionary loan trust to follow
- Almost two-thirds (63%) of advisers see IHT and estate planning as an important or critical aspect of their proposition, with four in five advised clients (80%) saying IHT planning is an important part of the advice they expect, according to research from AJ Bell and Ad Lucem*
- Three-quarters (76%) of advisers would value access to an open architecture trust range with full provider support
AJ Bell Investcentre has launched two new estate planning trusts, a discretionary gift trust and an absolute gift trust, with a discretionary loan trust to follow.
AJ Bell worked with Technical Connection to develop the trust deeds that are designed to give advisers access to flexible, open architecture solutions at a time when inheritance tax (IHT) is pulling more families into its net.
These products offer flexible, tax efficient solutions for advisers who are dealing with an increased number of client queries around IHT and estate planning – a trend set to continue. Research from AJ Bell and Ad Lucem found that 63% of advisers see IHT and estate planning as an important or critical part of their proposition, with four in five advised clients saying IHT planning is an important part of the advice they expect. Three-quarters (76%) of advisers also stated they would value access to open architecture investing through a range of trusts with full provider support*.
The trusts are now available on the AJ Bell Investcentre advised platform and can be used with general investment accounts (GIAs), providing advisers with an open architecture structure.
AJ Bell will soon launch a discretionary loan trust and enable access to GIAs through an onshore bond. All of these developments will contribute to further building out AJ Bell’s offering of tax efficient and flexible estate planning solutions. As a result, advisers will be better able to plan effectively for a wide range of client circumstances and aspirations.
*Source: AJ Bell, Ad Lucem. Based on a geographically representative online survey of 1,000 advised clients and 100 financial advisers across 100 different firms, carried out between May and June 2025.
Mark Rendle, AJ Bell advised product director, says:
“In the wake of another Budget set to unleash yet more uncertainty for people’s finances over the next year and beyond, alongside the government recently doubling down on its plans to apply IHT to unused pensions on death from April 2027, the need for robust financial advice on estate planning and tax management has never been greater. The result will undoubtedly be that advisers are set to play an even more crucial role in guiding clients through that process.
“We know that intergenerational wealth transfer is one of the most fundamental aspects of an adviser’s commitment to their clients, but it can be devilishly complex. That’s why we’ve broadened our IHT and estate planning offering for advisers by introducing more options with a wider range of underlying investments to protect client wealth in the form of the two trusts launched, with a third trust and onshore bond in the pipeline.
“This further demonstrates that we are committed to ensuring advisers have the tools they need to make the secure management of their clients’ portfolios as easy and tax efficient as possible, and we will continue to find ways to build out our proposition with appropriate and innovative new tools and services in order to achieve that.”
Phillip Wickenden, Ad Lucem CEO and founder, adds:
“The research makes it clear that IHT is no longer a niche concern reserved for the very wealthy – a raft of changes to thresholds, reliefs and now pensions have pushed many more mainstream families into scope, and that direction of travel isn’t going to reverse any time soon.
“The good news is that both advisers and clients are open to modern, investment-agnostic trust solutions. Nearly two thirds of advisers want to deepen their understanding of trusts and 63% of clients say they think trusts should be able to accommodate any kind of investment. This new AJ Bell range is very much built in that image – practical, flexible tools that help advisers turn good intentions on IHT into concrete action.”
Tony Wickenden, Technical Connection managing director and founder, also adds:
“Advisers aren’t short of intent – they’re short of time and the right support. Over half say better provider case support would help, and more than three quarters would, to complement the investment bond and trust solutions available, value a trust range that works with mainstream GIAs and comes with robust technical guidance. This launch is designed to tick those boxes and make it easier for advisers to help clients get ahead of IHT rather than waiting for the next set of rule changes to bite.”
How do trusts work?
A trust is the formal transfer of assets to a group of people, known as trustees, who become legal owners of the assets for the benefit of others. When it comes to estate planning, trusts can facilitate effective asset transfer while enabling the transferring party to retain control and, in some cases, access to the assets being transferred while retaining IHT efficiency.
Importantly for many would-be settlors, under the discretionary trust the settlor (whose assets are transferred) can give guidance to the trustees as to how the assets should be managed and who should benefit.
AJ Bell will offer three types of trusts for use:
- Absolute Gift Trust
- Discretionary Gift Trust
- Discretionary Loan Trust (in due course)
We will also provide a range of supporting documents for the ongoing administration of the trust as well as adviser and client guides to support selection, implementation, use and education regarding the legal and tax implications of the trust solutions offered.