Flexible Pension Plan/ Personal Pension Plan/ Stakeholder Pension Plan Important please ensure that you have: 1213 Completed Parts A to F Consulted your legal, tax or financial adviser before signing this deed Signed on page 9 or 10 and also that all Trustees have signed on page 9 or 10 Part A Trust This Trust is made on the day of 2 0 Please insert the date that the last person signed page 9 or 10. Part B Settlor s details birth National Insurance Number Please insert your full name and. Surname First name(s) (in full) Address The Settlor will be automatically appointed as a trustee of the trust Standard Life has drafted this trust with due care and attention to reflect the law at December 2013. It cannot accept any responsibility for loss, damage or other claim which may arise from the use of this trust or the way in which you complete it. Standard Life cannot perform the function of a legal or tax adviser or guarantee that this trust will meet all of your specific requirements. You are strongly recommended to consult your own legal and tax adviser. December 2013 Page 01 of 10
Part C Additional Trustees Trustee (PLEASE USE BLOCK LETTERS) Surname First name(s) in full Current Please insert full names and es. There should be two or more Additional Trustees. The Settlor details from Part B should not repeated in Part C. Trustees must be 18 years of age or over. If any Trustee is non UK resident, please consult your adviser. Trustee (PLEASE USE BLOCK LETTERS) Surname First name(s) in full Current Trustee (PLEASE USE BLOCK LETTERS) Surname First name(s) in full Current Trustee (PLEASE USE BLOCK LETTERS) Surname First name(s) in full Current Page 02 of 10 December 2013
Part D Schedule The and will be shown on the Schedule to your individual policy from Standard Life Assurance Limited. Part E Default Beneficiaries Name Percentage % Name Percentage % Name Percentage % Name Percentage % Name Percentage % Name Percentage % Total 1 0 0 % There must be at least one Default Beneficiary. If there is more than one Default Beneficiary insert their percentage share of the Fund in the box provided next to their name. All percentages must add up to 100%. Unless you indicate otherwise the Default Beneficiaries will benefit equally. Please note that the Trustees can change who benefits and in what proportions by exercising the power in clause 2 below. The Settlor cannot be a Default Beneficiary. Part F Choice of law Scots law is to apply to this trust Northern Irish law is to apply to this trust The trust will be governed by English law unless you initial one of these boxes to choose Scots or Northern Irish law. December 2013 Page 03 of 10
The Settlor hereby assigns the to the Original Trustees, who by signing this trust document accept their appointment as Trustees and agree that they will hold the same on the trusts and subject to the powers and provisions set out in this trust document. NOW THIS DEED WITNESSES as follows: 1. Definitions 1.1 In this trust document: Appointed Default Beneficiaries means such person or persons as have been appointed as default beneficiaries by the Settlor in exercise of his powers under clause 7.1.3 and such of the Original Default Beneficiaries as have not been removed by the Settlor in exercise of his powers under clause 7.1.3. Assurance Company means Standard Life Assurance Limited, a company registered in Scotland with company number SC286833 and having its registered office at Standard Life House, 30 Lothian Road, Edinburgh, EH1 2DH. Beneficiary means a) any widow or widower of the Settlor whether or not remarried or in a civil partnership; b) any child or grandchild of the Settlor whenever born; c) anyone (other than the Settlor) descended from the father or mother of the Settlor; d) anyone who is or has been a Spouse of anyone described in classes (b) or (c) above; e) after the death of the Settlor, anyone who is or may be entitled to inherit all or any part of the Settlor s estate either under the Settlor s will or under the rules of intestacy whether or not the Settlor died intestate; f) anyone (other than the Settlor or the Settlor s Spouse for the time being) who is descended from the grandparents of the Settlor or the grandparents of the Spouse; g) any person (other than the Settlor or the Settlor s Spouse for the time being), association, Charity, society or other institution notified in writing by the Settlor during his lifetime to the Trustees; and h) after the Settlor s death any individual who, in the opinion of the Trustees, immediately prior to the Settlor s death was: (1) in receipt of any regular payment from the Settlor; or (2) wholly or partly dependent on the Settlor for the ordinary necessities of life or because of physical or mental disability; or (3) cohabiting with the Settlor as if they were married to one another (whether they are of the same or opposite sex) providing that their finances are interdependent with those of the Settlor. Charity means any corporation or trust or other institution established for charitable purposes in accordance with the governing law of any part of the United Kingdom. Civil Partnership means civil partnership as defined in the Civil Partnership Act 2004. Trust means the date specified in Part A. Death Benefits means any lump sum benefit payable under the (and, where appropriate, the rules of the pension arrangement to which the relates) on or in respect of the death of the Settlor and any property for the time being representing or arising from the whole or any part of the same. Default Beneficiary means the Original Default Beneficiary or the Appointed Default Beneficiaries. Discretionary Period means the period of two years from the death of the Settlor. Minor means a person under the age of 18 years or, if domiciled in Scotland, under the age of 16 years. Original Default Beneficiary means the person or persons named or described in part E. Original Trustees means the persons named in Parts B and C. Page 04 of 10 December 2013
Pension Benefits means any pensions and any lump sum benefits other than Death Benefits payable to, or in respect of, the Settlor during his lifetime or in terms of any guarantee period under the (and, where appropriate, the rules of the pension arrangement to which the relates). means the policy or policies set out in Part D. Settlor means the person named in Part B. Trustees means the Original Trustees or the trustees for the time being of this trust. Trust Period means the period of up to 125 years beginning with the Trust and ending on the day before the 125 th anniversary of the Trust. Trust Fund means the Death Benefits together with all property at any time held by the Trustees, other than the Pension Benefits, whether by way of accumulation of income, capital appreciation or otherwise and all monies, investments and other property from time to time representing the same. 1.2 Words describing relationships include adopted and step children and those tracing their descent through them. 1.3 Words importing the singular shall include the plural and vice versa. Words importing a gender include every gender. 1.4 Spouse includes a civil partner registered under the Civil Partnership Act 2004 and husband, wife, widow and widower shall be construed accordingly. 1.5 Dependant shall have the meaning given in the. 1.6 Incapable shall be construed in accordance with the provisions of the Adults with Incapacity (Scotland) Act 2000. 2. The Trust Provisions 2.1 The Pension Benefits shall be held on trust for the sole benefit of the Settlor absolutely and always in accordance with the terms of the. On the death of the Settlor, any pension payable under the policy to a dependant of the Settlor shall be held on trust for the sole benefit of that dependant absolutely, and always in accordance with the terms of the. 2.2 During the Discretionary Period, the Trustees (being at least one corporate trustee or two individual trustees) may appoint that they shall hold the Trust Fund for the benefit of any of the Beneficiaries on such terms as the Trustees think fit. 2.3 An appointment under clause 2.2 may create any provisions, including discretionary trusts, and dispositive and administrative powers exercisable by the Trustees or any other person. Such an appointment shall be made by deed and may be revocable during the Discretionary Period or irrevocable. 2.4 During the Discretionary Period, the Trustees (being at least one corporate trustee or two individual trustees) may pay or apply any part or all of the Trust Fund to or for the advancement or benefit of any Beneficiary. 2.5 Subject to the exercise of the powers in clauses 2.2 to 2.4, the Trustees may accumulate the whole or part of the income of the Trust Fund during the Discretionary Period, which income shall be added to the capital of the Trust Fund and if this trust is governed by Scots law the accumulation period shall be the Discretionary Period. During the Discretionary Period, the Trustees shall pay or apply the remainder of the income to or for the benefit of any Beneficiaries as the Trustees think fit. 2.6 Subject to the exercise of the powers in clauses 2.2 to 2.4 above, and if and in so far as not wholly disposed of for any reason by those provisions, the Trust Fund and the income thereof shall, from the expiry of the Discretionary Period, be held for the Default Beneficiary absolutely and if more than one, in the percentage shares specified in by the Settlor or equally if no percentage shares are specified (or if the specified shares do not add up to 100%), and in any event shall be distributed to the Default Beneficiary no later than the expiry of the Trust Period. December 2013 Page 05 of 10
3. Reserved Powers 3.1 Subject to clauses 3.2 and 3.4, and the terms of the, during his lifetime, the Settlor shall have power to give instructions in relation to the investments under the, which instructions shall be given directly to the Assurance Company. 3.2 If the Settlor becomes Incapable, the Settlor s powers in clause 3.1 shall vest in any person who is legally entitled to make investment decisions on the Settlor s behalf. 3.3 While the Settlor or the person acting on his behalf has such a power, the Trustees shall have no powers, obligations or duties in relation to the investments under the. 3.4 If the Settlor becomes Incapable and there is no person who is legally entitled to make investment decisions on the Settlor s behalf, the Settlor s power in clause 3.1 shall vest in the Trustees. The power of the Trustees under this clause 3.4 shall cease if any person subsequently becomes legally entitled to make investment decisions on the Settlor s behalf. 3.5 The rights or options contained in the which can only be exercised by the policyholder of the, shall be exercisable by the Settlor notwithstanding the assignment of the to the Original Trustees. The exercise by the Settlor of such rights or options shall be deemed as an exercise of those rights or options by the policyholder for the time being under the in so far as is necessary to give effect to any right or option so exercised, and shall discharge any liability of the Assurance Company to the policyholder. 4. Trustees Powers 4.1 Subject to clause 3, in addition to any other powers conferred on the Trustees by this trust document, the Trustees shall have the widest possible powers of administration and management of the Trust Fund as if they were the absolute owners of the Trust Fund and beneficially entitled to it. In particular, and without prejudice to the foregoing: 4.2 The Trustees may (with due regard to any required investment criteria and subject to obtaining advice, if required by law) make any kind of investment they could make as if they were absolute beneficial owners (and, in particular, (i) may invest in and retain non income producing assets anywhere in the world and (ii) need not have regard to any rule of law requiring them to consider diversifying the investments). 4.3 The Trustees may make any disposition they could make as if they were absolute beneficial owners. 4.4 The Trustees may lend all or any part of the Trust Fund to any Beneficiary on such terms (whether or not including provision for the payment of interest and with or without security) as the Trustees in their absolute discretion think fit. 4.5 The Trustees may borrow on the security of all or any part of the Trust Fund or without giving any security, and on such terms as to interest as the Trustees in their absolute discretion think fit. 4.6 The Trustees may pay or transfer capital or income to the parent or guardian of any Minor who is beneficially entitled to it and the receipt of such parent or guardian shall be a full discharge to the Trustees. 4.7 The receipt of the treasurer or other proper officer in respect of capital or income paid other than to an individual shall be a full discharge to the Trustees. 4.8 The receipt of the Trustees for any monies or benefits payable under the shall be a full and sufficient discharge to the Assurance Company. 4.9 In so far as the governing law of this trust permits, the Trustees may delegate in any way the exercise of any of the powers of investment and management of the Trust Fund and may employ agents, discretionary investment managers, nominees and custodians on such terms as the Trustees in their absolute discretion think fit. 4.10 The Trustees may appropriate all or any part of the Trust Fund as they think fit in or towards satisfaction of the interest of any Beneficiary and may for that purpose place such value on any property as they think fit. Page 06 of 10 December 2013
4.11 Any Trustee (other than the Settlor or any Spouse for the time being of the Settlor, during the lifetime of the Settlor) who is a solicitor or other person engaged in a profession or business or any corporate trustee may charge all usual reasonable professional charges in relation to work carried out in connection with this trust and shall have the power to resign from office as a Trustee. 4.12 No Trustee shall be precluded from joining in the exercise of any of the powers conferred upon them notwithstanding that he will or may benefit from such exercise or by reason of the fact that he is or may become a Beneficiary provided that at least one other trustee who takes no benefit also agrees to the exercise in favour of the benefitting Trustee. 4.13 The Trustees may by deed (and so as to bind their successors) release or restrict the future exercise of all or any of the powers conferred on them by this trust document or by law. 4.14 Any legal rule requiring apportionments to be made for the purpose of this trust is excluded and shall not apply. 5. Trustee Liability No Trustee shall be liable for any loss to the Trust Fund or part of the Trust Fund at any time unless that loss is caused by his own knowing breach of trust. 6. Excluded Persons 6.1 During the lifetime of the Settlor, no part of the capital or income of the Trust Fund shall be capable of being paid or lent or applied to or for the direct or indirect benefit of the Settlor or any Spouse for the time being of the Settlor in any circumstances whatsoever. 6.2 After the death of the Settlor, no part of the capital or income of the Trust Fund shall be capable of being paid or lent or applied to or for the direct or indirect benefit of the Settlor s executors or personal representatives or of being paid, lent or applied in such a way as to form part of the Settlor s estate. 6.3 The prohibitions in this clause 6 shall apply notwithstanding anything else contained in or implied by the provisions of this trust document. 7. The Settlor s power to appoint and remove Trustees and to exclude Beneficiaries 7.1 Subject to clause 7.2, the Settlor: 7.1.1 shall have the power to appoint new and additional trustees and to remove any trustee as long as there shall be at least one corporate trustee or two individual trustees acting after such removal; and 7.1.2 may, by notifying the Trustees in writing, exclude any Beneficiary (but not all Beneficiaries) from future benefit under this trust; and 7.1.3 may, by notifying the Trustees in writing, appoint new default beneficiaries and remove any default beneficiary (as long as there shall be at least one default beneficiary appointed after such removal). 7.2 After the Settlor s death or if he becomes Incapable, the Settlor s powers in clauses 7.1.1 and 7.1.2 shall vest in the Trustees (excluding the Settlor) who may, by deed: 7.2.1 appoint new and additional trustees; 7.2.2 remove any trustee with the agreement of all Trustees other than the one to be removed, as long as there shall be at least one corporate or two individual trustees acting after such removal; and 7.2.3 exclude any Beneficiary (but not all Beneficiaries) from future benefit under this trust. December 2013 Page 07 of 10
8. Governing law Subject to any choice of Scots or Northern Irish law in Part F, this trust shall be governed by the law of England and Wales. Signed and delivered as a deed by the Settlor: Date* 1 Full name Place* 2 IN WITNESS WHEREOF the parties have signed this deed on the day and year first above written In the presence of: of Witness full name required *1 Please add the date of signature. Once all parties have signed, date the deed in Part A (page 1) with the same date as the last person to sign the deed. *2 Please add the place where the trust document was signed, e.g. Edinburgh. Please ensure that all of the above details have been correctly completed. Witnesses should be independent and not someone already named in the trust nor their spouse or civil partner. Page 08 of 10 December 2013
Signed and delivered as a deed by the Additional Trustee: Date* 1 Full name Place* 2 In the presence of: of Witness full name Signed and delivered as a deed by the Additional Trustee: required *1 Please add the date of signature. Once all parties have signed, date the deed in Part A (page 1) with the same date as the last person to sign the deed. *2 Please add the place where the trust document was signed, e.g. Edinburgh. Please ensure that all of the above details have been correctly completed. Witnesses should be independent and not someone already named in the trust nor their spouse or civil partner. Date* 1 Full name Place* 2 In the presence of: of Witness full name December 2013 Page 09 of 10
Signed and delivered as a deed by the Additional Trustee: Date* 1 Full name Place* 2 In the presence of: of Witness full name Signed and delivered as a deed by the Additional Trustee: required *1 Please add the date of signature. Once all parties have signed, date the deed in Part A (page 1) with the same date as the last person to sign the deed. *2 Please add the place where the trust document was signed, e.g. Edinburgh. Please ensure that all of the above details have been correctly completed. Witnesses should be independent and not someone already named in the trust nor their spouse or civil partner. Date* 1 Full name Place* 2 In the presence of: of Witness full name Standard Life Assurance Limited is registered in Scotland (SC286833) at Standard Life House, 30 Lothian Road, Edinburgh, EH1 2DH. Standard Life Assurance Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. www.standardlife.co.uk 1213 2013 Standard Life December 2013 Page 10 of 10
Personal Pension/Stakeholder/ Flexible Pension Plan Trust Deed Information Notes For use with Personal Pension Plans including Retirement Annuity Contracts, Group Personal Pension Plans, Stakeholder and Flexible Pension Plans. This Trust Deed has been drafted by Standard Life Assurance Limited ( Standard Life ) for use with Personal Pension Plans, including Retirement Annuity Contracts, Group Personal Pension Plans, Stakeholder or Flexible Pension Plans. While we have drafted this deed with due care and attention, we cannot perform the function of your legal or tax adviser and, in particular, we cannot guarantee that this Trust Deed will meet all your specific requirements. You should note that putting your policy into trust could have tax consequences. We strongly recommend that you consult your own legal and tax adviser. You may find these notes helpful when completing the enclosed Trust Deed. Tax and other legislation can change. The information given here is based on Standard Life s understanding of law, taxation and HM Revenue and Customs practice at the date of publication. Standard Life cannot accept any responsibility for loss, damage or other claim which may arise from using the Trust Deed. If you make a mistake when completing the Trust Deed, put a single score through the mistake, write the correct wording above it, and then have all the parties to the Trust Deed initial the correction. For example: John Smyth AB, CD, EF John Smith Please note that correction fluid should not be used on a legal document. We cannot accept any document where correction fluid has been used. Writing a in Trust There are many different types of trust. This trust is called a discretionary trust. Under the trust, the trustees discretion is limited because if the Death Benefits are received by the trust they must decide within two years of your death who should receive the Death Benefits. If the trustees don t make a decision within two years, the Default Beneficiary becomes automatically entitled to receive the Death Benefits. Annuity Contracts, or the new style Personal Pension Plans. If you have policies which are of both types it is possible to include both policies under a single trust deed, if this is required. Writing a pension policy in trust does not affect your retirement benefits and you can make decisions regarding your pension policy, e.g. transferring to another scheme or changing investments, without the agreement of the trustees. In certain circumstances, transferring your policy after it has been assigned to a trust could have inheritance tax consequences, for example, if you die within two years of the date of the transfer or are in ill health on the date of the transfer. Death Benefits will only be paid to the trust if you die before taking your benefits. Benefits on death after retirement may not be written in trust. Transferring your pension plan, policy or contract to a trust is a transfer of value for inheritance tax purposes. So are contributions made to the pension plan, policy or contract after it has been transferred to a trust. HM Revenue & Customs can calculate the loss to your estate caused by the transfer or contribution and inheritance tax will be payable if the transfers of value you have made over the preceding seven years are greater than the inheritance tax threshold at that time ( 325,000 in 2013/14). However, where the transfer or contribution takes place more than two years before your death, HM Revenue & Customs will assume (unless there is evidence to the contrary) that you were in normal health at the time. As a result, the transfer will have a nominal value only and the contribution will not be treated as a transfer of value. It is also possible to place a sum assured pension policy in trust. This type of policy only provides a lump sum on death. However, you should bear in mind that once in trust it will not be able to be assigned in the future, for example, in connection with a loan. This deed may be used with either the old style Personal Pension Plans, called Retirement Personal Pension/Stakeholder/Flexible Pension Plan 01/02
The Trust Deed The trust can be governed by English law, Scots law or Northern Irish law, but English law will apply unless you choose otherwise. For practical reasons it may be sensible to choose the governing law of where you live. signing The policy must be in force before it can be placed in trust. This means that the date of signing of the Trust Deed must therefore be a date later than the date the policy was signed by Standard Life. (Your policy schedule will show the date of signing of your policy). The date of the Trust Deed should reflect the date when the last person (usually the last witness) has signed the deed. If you completed the Trust Deed for your pension policy, at the same time as the application forms, leave the date of the Trust Deed blank and return the deed to us. There may be a slight delay while the policy documents are produced and we shall hold on to the Trust Deed until we know the details. The details of the Trust Deed will then be recorded against the policy records and returned to you as soon as possible. Appointing Trustees In our Trust Deed you are referred to as the Settlor and are a trustee. There should be two, or more, other people appointed to act as trustees with you. It is possible for a potential beneficiary or the Default Beneficiary (providing they are 18 years or over) to also be one of the trustees. You should consider carefully the people you wish to appoint as trustees as they will be responsible for dealing with the trust fund, and deciding who benefits, if you die before taking your benefits. Choosing beneficiaries The Trust Deed provides that when you die, provided there are at least two trustees remaining, the trustees will have a discretion over who to pay death benefits to. This means that the trustees can look at your family circumstances and make the best decision. They can select any one or more of the people from the list of potential beneficiaries in the deed. If the trustees have not made a decision within two years of the date of your death, the people you named as the Default Beneficiary or beneficiaries will automatically become entitled to receive the proceeds. You should give serious consideration to who you name as Default Beneficiaries. On page 2, you will see a section of the deed marked 'Part E Default Beneficiaries'. This is where the name or names of the Default Beneficiaries should be inserted. Please note: it will be possible for the Settlor to change the Default Beneficiaries. We will not accept a Trust Deed where the Default Beneficiary box is blank, as this can have adverse tax consequences for you. Also, it is important that at least one Default Beneficiary is appointed at all times. Signing the deed You and all other trustees must sign the deed. The signatures must be witnessed by an independent witness. An independent witness is someone who is not a party to the deed, i.e. they are not one of the other trustees or a beneficiary of the trust. The policy number must be inserted in the section of the deed marked 'Part D Schedule'. For personal pension plans which begin with the prefix K... this should be the full increment or sub policy number, e.g. K1112220001, 002, etc and will be on the policy schedule. We cannot accept deeds with only the plan number, i.e. ending in...000. The date of the signing of the policy is also found on the policy schedule. If you have not received this document you can wait until you do receive it or leave this box blank, send the deed back to us and we will record the details as soon as we know that the policy is set up. What to do next Once you and the other trustees have completed the Trust Deed, the original deed should be sent to us for recording. The Trust Deed will then be returned to you for safekeeping. Changing your mind Once a trust has been set up, it is possible at a later date for you to change the trustees, or to appoint or remove a potential beneficiary, or to appoint or remove a default beneficiary. After your death, your trustees will have the power to change trustees and exclude any Beneficiary (but not all Beneficiaries), but will not have the power to change any Default Beneficiaries. As a Trust Deed is a legal document it is not enough to notify us of changes in a letter. Standard Life can provide deeds of amendment which can be used in such circumstances. You should write to us telling us what sort of change is to be made and we will prepare a draft deed. Please be aware that should any change be required to the trust in the future, both you and all the other trustees may have to sign the relevant papers at that time. Standard Life Assurance Limited is registered in Scotland (SC286833) at Standard Life House, 30 Lothian Road, Edinburgh EH1 2DH. Standard Life Assurance Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. www.standardlife.co.uk GEN69 0813 PDF 2013 Standard Life 02/02