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PRSA can I manage my own?

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  • 02-01-2009 2:30pm
    #1
    JoBlog
    Registered Users Posts: 16 ✭


    I'm 60. I have cash having sold a house I inherited. I thought of Govt inflation indexed bonds (German/French) as a safe medium term investment. The coupon is a humble 1.5% (thereabouts) but these bonds provide protection against a possible dose of inflation. But I'm not happy that our Govt would tax the inflation 'gain' as capital gains tax since its no gain at all by definition. And of course it also means that the capital net of tax will be eroded by a proportion of inflation despite their name. This could be very significant if inflation goes high in medium term and the capital gains tax goes on increasing. Both of these risks are increasingly likely.

    A PRSA (I have not got one) would provide untaxed growth but the approved providers charges would eat up the coupon. Is there a way I can wrap up these bonds in a PRSA either managed by myself or for a nominal fee by a provider? (there is no management required).
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    #2
    Time Magazine
    Registered Users Posts: 8,452 ✭✭✭Time Magazine


    I think you'll have a better chance at getting an answer here. Moved from Investments & Markets.


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