Commercial investments

Unit Trust Investment Account for businesses

Do you have surplus cash in your business bank account?

With many business bank accounts currently offering low interest, inflation can eat away at your money over time. Investing in the Unit Trust Investment Account from Wesleyan Unit Trust Managers (WUTM) could give you the chance to grow your money, and beat the effects of inflation.

  • Take your pick from six risk-rated investment funds, and swap at any time
  • Invest as much as you like, with no maximum limit
  • Let our award-winning Fund Managers manage your investment
  • Withdraw money at any time, with no exit fees
  • Open to UK businesses, charities, partnerships, trusts and societies

Dealing costs and ongoing charges will apply. An initial advice fee of 3% will apply when you take advice from a Wesleyan Financial Services Consultant.

Keep in mind that the value of your investments can go down as well as up, and you may get back less than you put in.

Why invest?

Money in your business bank account is money that’s been hard earned. But if you’re getting zero interest on your balance, it’s not working very hard for you. 

Low interest rates can lead to a ‘negative real return’. That means that even if your business bank account provides an interest rate as high as the Bank of England base rate, every pound you save is likely to buy you less in the future than it does today.

Making money work harder

If you have £50,000 sitting in your business bank account earning 0% interest over three years (with inflation at 2%* over the same period), the buying power of your money will reduce by £2,940.

Commercial investments aim to make your money work harder, to combat inflation. We all know that investment comes with risk - but deciding not to invest your money could be a risk in itself.

* Projected inflation rate based on Bank of England long term estimate.

(Source: BoE Monetary Policy Report, Feb 2021)

How the Unit Trust Investment account works

WUTM’s Unit Trust Investment account allows your business or corporate entity to invest in up to six risk-rated funds. 

The funds see you pool your money with other commercial investors to access the kind of assets that might be difficult to buy alone. Each fund is fully managed by WUTM’s award-winning investments team.

WUTM’s Fund Managers invest with a long-term view. They use periods of market volatility, such as the effect that COVID-19 has had on stock markets, to find investment opportunities they believe will benefit Unit Trust funds over the longer term.

The choice is yours

When you invest in a WUTM Unit Trust Investment Account, you get to choose which funds your money goes into – and how much risk you’re willing to take in pursuit of potential growth.

All our funds are risk rated on a scale of 1 to 5, where 1 represents the lowest risk (and lower potential returns) and 5 represents the highest risk (but potentially the greatest returns). 

You can simply select the fund you’re most comfortable with, or you can spread your money across as many funds as you like. You can swap funds at any time, too.

Flexible investing

Like most investment products, the Unit Trust Investment Account is best suited to those who can invest for at least five years. But you can still take your money out at any time. 

You can withdraw money either on a one-off basis or by taking regular income, without any exit fees. Remember though, any gains may be subject to capital gains tax or corporation tax.

We do also ask that you always leave £500 invested, until such time as you close your account.

Compound growth

Unit Trust funds can generate returns in two different ways - through capital growth (when the fund’s unit value increases) and through income from shares.

When your investment does generate income or interest, you can choose to have it paid to you or you re-invest it in your account.

Reinvesting can significantly boost your investment returns over time, through what’s known as ‘compound growth’.

Existing customer?

Call us on 0330 123 3813 to check values, switch between funds or arrange a withdrawal.

Lines are open Monday to Friday, 9am to 5pm.

Important Information:

Charges

There is an initial advice charge of 3% of your contribution or transfer in. WUTM will collect this charge on behalf of Wesleyan Financial Services (WFS) and pay it to them.

There are also some management and dealing costs to pay. These costs are shown as Ongoing Charge Figures (OCFs). The latest OCFs for each fund can be found in the Key Investor Information Documents in our fund prices centre.

If you are opted in for the Ongoing Advice Service (OAS) provided by Wesleyan Financial Services, please note an additional 0.5% will be added to the OCF charge.

Tax rules summary

Taxation will vary depending on your circumstances and business structure. Your Wesleyan Financial Services Consultant can guide you on any tax implications for your business.

Key documents

Before you apply to open a Unit Trust Investment Account, please read the following documents:

Please also read the latest Key Investor Information Document (KIIDs) for any fund(s) you’re considering investing in. These can be found in our fund prices centre.

If you are already investing with us and have opted into the Ongoing Advice Service (OAS), the appropriate 'B' unit class KIIDs are available through the WUTM Investor Portal.