»Ê¹ÚÌåÓýapp

»Ê¹ÚÌåÓýapp following definition applies to personal portfolio bonds (PPBs) made on or after 17 March 1998. »Ê¹ÚÌåÓýapp definition for bonds issued before that date, and not varied on or after 16 July 1998, is given at IPTM3620.

A personal portfolio bond is a life insurance policy, life annuity contract, or capital redemption policy under whose terms:

• some or all of the benefits are determined by reference to:

- fluctuations in, or in an index of, the value of property of any description, or

- the value of, or the income of, property of any description

and

• the terms of the policy or contract permit the selection of the index, or some or all of the property, by:

- the holder of the policy or contract

- a person connected with the holder

- the holder and a connected person acting together

- a person acting on behalf of the holder

- a person acting on behalf of a person connected with the holder

- a person acting on behalf of the holder and a person connected with the holder acting together

except where the terms of the policy or contract only permit the selection of certain narrowly-defined property or indices, listed in IPTM3630 and IPTM3640, to determine the benefits.

For these purposes

• it does not matter whether the index or property is specified in the policy or contract
• ‘holderâ€� includes any holder if there are two or more.