Disinvestment Declaration (RSA) t&c's

IMPORTANT NOTES

APPLICATION FOR A DISINVESTMENT: OLD MUTUAL AND OMIS

  • I hereby request a disinvestment, subject to the terms and conditions set out herein.
  • I understand that this disinvestment is subject to the terms of the Addendum to my/our Savings Benefit (Greenlight only).
  • I understand that Old Mutual/OMIS reserves the right to undertake any realisation of investments necessary for disinvestment purposes over a period of up to 30 trading days on the relevant stock exchange(s) and to determine the total disinvestment value by reference to the amounts realised for such investments over that period. Old Mutual/OMIS is entitled to delay the payment of any disinvestment or the processing of switches if any party holding assets on their behalf or any of their partners delay payment of the proceeds to them. If a restriction is placed on the sale of assets in the Underlying Investment Fund, which can happen from time to time, the same restriction will apply to your Underlying Investment Fund. This can significantly delay the processing of disinvestments or switches.
  • For a Regular Premium Investment Plan/Committed Investment Plan a Plan Amendment Charge/Reduction Fee will be deducted from the fund value. For a Focussed Investment Plan a reduction fee and Transaction Admin Fee will be deducted from the fund value.
  • With a full/part disinvestment the client continues with the existing premium schedule or ad hoc investments into the plan subject to the following:
    • If the value of all Investment Funds contained within the Plan/Savings benefit, less the amount of any outstanding loan debt, falls below the minimum limit set by Old Mutual from time to time, the Plan/Savings benefit will be cancelled. If this happens no value will be payable under this Plan/Savings Benefit in respect of the Investment Plan.

Please note:

With a part/full disinvestment the client continues with the existing premium schedule or ad hoc investments into the plan.

Old Mutual Investment Services (Pty) Ltd:

I WARRANT THAT:

  • My/the Contracting Party’s estate has not been sequestrated/liquidated; and
  • The Plan/Savings Benefit has not been ceded or pledged to anyone.

I UNDERSTAND THAT:

  • The price payable for the units to be repurchased in terms of this request, will under normal circumstances, be the Management Company’s repurchase price ruling on the business day after the documentation is received by OMIS.
  • Repurchase transactions will be subject to the terms and conditions in the relevant Trust Deed(s).
  • Should the units tendered for repurchase have been ceded; the written consent of the cessionary must be provided before the repurchase can be processed.
  • There are no restrictions on the number of part/full disinvestments.
  • With a full/part disinvestment the client continues with the existing premium schedule or ad hoc investments into the plan subject to the following:
    • A Plan may be terminated if the value of all the Underlying Investment Funds contained therein falls below the minimum limit set by OMIS from time to time. The Contracting Party shall receive any balance in cash after units have been sold to recover any charges due to OMIS that have not yet been recovered.

APPLICATION FOR PLAN/SAVINGS BENEFIT CANCELLATION (LIFE PURE INVESTMENT & LISP PURE INVESTMENT ONLY)

Old Mutual Life Assurance Company (South Africa) Limited

  • I hereby request a Plan/Savings Benefit cancellation, subject to the terms and conditions set out herein.
  • I understand that this Plan/Savings Benefit cancellation is subject to the terms of the Addendum to my/our Savings Benefit (Greenlight only).
  • I understand that Old Mutual reserves the right to undertake any realisation of investments necessary for disinvestment purposes over a period of up to 30 trading days on the relevant stock exchange(s) and to determine the total disinvestment value by reference to the amounts realised for such investments over that period.
  • On a Regular Premium Investment Plan/Committed Investment Plan/Focussed Investment Plan/a Plan Amendment Charge/Reduction Fee/Transaction Admin Fee will be deducted from the fund value.
  • For a Flexible Plan (Xtra), a reduction fee will be deducted from the fund value if the plan is cancelled within the first 5 years.
  • Plan/Savings Benefit cancellation results in the Investment Plan/Savings Benefit ceasing.
  • If the Greenlight Savings Benefit cancellation is selected, the Savings Benefit premium will be cancelled. The Greenlight Risk Benefit will still continue.

Old Mutual Investment Services (Pty) Ltd

I WARRANT THAT:

  • My/the Contracting Party’s estate has not been sequestrated/liquidated; and
  • The Plan/Savings Benefit has not been ceded or pledged to anyone.

I UNDERSTAND THAT:

  • The price payable for the units to be repurchased in terms of this request will, under normal circumstances, be the Management Company’s repurchase price ruling on the business day after the documentation is received by OMIS.
  • Repurchase transactions will be subject to the terms and conditions in the relevant Trust Deed(s).
  • Should the units tendered for repurchase have been ceded, the written consent of the cessionary must be provided before the repurchase can be processed.
  • On a Committed Investment Plan/Focussed Investment Plan/a Plan Amendment Charge/Reduction Fee/Transaction Admin Fee will be deducted from the fund value. A Reduction Fee will be deducted from the Fund Value.
  • Plan/Savings Benefit cancellation results in the Investment Plan/Savings Benefit ceasing.

In this document:

  • the singular form of a word includes the plural and vice versa;
  • any gender includes the other gender;
  • references to persons include individuals, juristic persons, partnerships and any other body of persons.
CONDITIONS, DECLARATIONS AND RESTRICTIONS

Financial Advisory and Intermediary Services Act

  • It is my responsibility to ensure that this form is fully completed and accurate before I sign it.
  • I will on request be provided with a copy or a printed record of this transaction within a reasonable time.

Tax

  • “Disinvestments from certain second-hand policies are examples of policies that are subject to Capital Gains Tax”

Long-term Insurance Act

The law currently restricts Old Mutual from paying Benefits to you within certain periods.

This means you may only make one loan and one disinvestment:

  • during the first five (5) years of the Plan, and also
  • for a period of five (5) years starting from the first day of the month that you pay a premium
      • that by itself exceeds, or
      • if added to the other premiums already paid and still to be paid in that year exceeds, or
      • if it is the first of recurrent premiums which if paid at that rate for the whole year will cause the total value of the premium to exceed the premiums you paid in one of the two previous years by more than 20%.

    I confirm that I have read this declaration as well as the disinvestment terms and conditions and I understand the content and implications thereof.

    I am aware that a Reduction Fee/Plan Amendment Charge and a Transaction Admin Fee (if applicable) may be levied in terms of the Plan/Savings Benefit in the event of a disinvestment.

    I declare that I have full power/authority to apply for and enter into this transaction.