Its aims To provide a straightforward way of investing a single, monthly or annual amount to build a lump sum with low to medium

risk.

To provide access, through a with-profits insurance policy, to a range of different investment assets, which are higher risk than cash deposits, but may have the potential to produce a better return over the longer term.

To add bonuses to your investment.

To provide returns that are paid tax-free under current legislation.

To give you the option to vary your contributions (subject to ISA limits) if your circumstances change.

Your commitment To pay a regular monthly premium between £30 and

the maximum permitted or single premiums with a minimum initial investment of £300 and subsequent additions of no less than £100 up to the maximum permitted investment in any one tax year. Please refer to the product brochure for current annual ISA allowances.

You can withdraw your investment at any time but you should see it as a medium to long term plan from which withdrawals will be made infrequently.

By investing in a Sheffield Mutual Investment ISA you will not be able to start a Stocks & Shares ISA with another provider during the same tax year.

Risks Your circumstances may change forcing you to cash in

early and you may not get back as much as you have paid in.

Future bonuses are not guaranteed and will depend on the investment performance of the fund.

A Market Value Reduction may be applied if you withdraw or transfer the ISA to another provider and the investment returns of the fund are less than profits (bonus) already added to the ISA policy.

The Government could change the way in which ISAs are taxed which may result in the amount which you get back being reduced or that you may have additional tax to pay.

Inflation may reduce what you could buy in the future.

What is the purpose of this leaflet?The Financial Conduct Authority is the independent financial services regulator. It requires us, Sheffield Mutual Friendly Society, to give you this important information to help you to decide whether our Investment ISA is right for you. You should read this document carefully along with the illustration, product brochure and ISA Terms & Conditions, so that you understand what you are buying and then keep it safe for future reference. The Sheffield Mutual Investment ISA is a stocks & shares ISA under the ISA regulations.

Who is the Investment ISA suitable for?Individuals aged 18 years or over who would like to save or invest for a minimum of three years and ideally for five years or longer, in a product which has tax advantages under current legislation.

Key features of the Investment ISA

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Other informationCancellation rightsAfter your proposal is accepted you will receive a notice of your right to cancel. You will then have 30 days in which to change your mind, and you will be returned any money you have paid, free of any charges.

BonusesBonuses calculated on the basis of the profits of the fund are added to your policy. The bonus rate is decided by Sheffield Mutual Friendly Society acting on the advice of the actuary and is not guaranteed.

LawIn legal disputes the Law of England will apply.

LegislationAll or any of the benefits, the premiums, or the policy conditions may be adjusted as deemed appropriate:• If there is any change in Law or Taxation affecting the policy• If any levy is imposed on the Society under Statute or

statutory authority• As a consequence of any amendment to General Laws

Market Value Reduction (MVR)This could reduce the amount we pay out if you close, transfer or withdraw funds from your ISA at a time of adverse investment conditions. Its purpose is to ensure that you receive your fair share of the fund value at the time when you close, transfer or withdraw from your ISA, which will ensure remaining policyholders are not disadvantaged.

Queries and complaintsFor further information or if you wish to complain about any aspect of the service you have received, please contact the Society’s Chief Executive at the address shown below. We will attempt to resolve any problems immediately, but if a complaint is not dealt with to your satisfaction you can then complain to the Financial Ombudsman Service, Exchange Towers, London, E14 9SR, or telephone 0800 023 4567. For further information visit www.financial-ombudsman.org.uk. Making a complaint will not prejudice your right to take legal proceedings.

CompensationThe Society is covered by the Financial Services Compensation Scheme (FSCS). You may be entitled to compensation from the scheme if we cannot meet our obligations. This depends on the type of business and the circumstances of the claim. Further information about compensation scheme arrangements is available from the FSCS by visiting www.fscs.org.uk, or by calling 0207 741 4100 or 0800 678 1100.

Sheffield Mutual Friendly SocietyWas founded in 1892. Total assets exceed £110 million and there are over 77,000 members. This leaflet is a brief guide to the Key Features of the product. Further details are contained in the policy document which is the legally binding contract between you and Sheffield Mutual Friendly Society.

Questions and answersCan I select the term of my Investment ISA?There is no specific term but to take full advantage, investing in this type of policy should be viewed on a medium to long term basis.

Can I stop paying premiums?Yes, you can stop or vary the level of premiums during a tax year and you are not required to make any commitment over and above the initial premium. However, if you do not make a payment in the whole of a tax year and you wanted to start again you would have to make a new application. The Society reserves the right to terminate the policy in circumstances where you have not invested the minimum initial premium of £300 for a single premium ISA or £30 per month for 12 months on regular premium policies.

Can I transfer my ISA?Yes, if you hold one or more ISAs with another provider (Cash, Stocks & Shares or Innovative Finance) you can apply to transfer these to Sheffield Mutual by completing our simple application form. At your written request Sheffield Mutual will transfer your Investment ISA to another provider in line with the current ISA rules.

What happens if I die?On early death the Society will pay 101% of the policy value to either your personal representative(s) or to your estate. Bonus will be credited tax-free up to the date of death. Your spouse or civil partner will have an additional personal ISA allowance equivalent to the proceeds of your ISA at the date of your death.

Are there any charges?Yes, the Society will deduct 1.5% of the value of the policy fund each year to cover administration expenses. The annual charge is normally deducted from the declared annual bonus amount before it is added to your policy. However, it would be deducted from the policy fund should the bonus be less than the annual charge.

Is there a tax liability?One of the benefits of an ISA is that all the money you receive from it will be completely free of tax and where applicable does not need to be entered on your tax return. Investment income and Capital Gains made to the fund are currently tax-free, but this information is based on current tax legislation which may vary in the future.

How will it work for me?Accompanying this leaflet you will find an illustration which shows how the ISA might benefit you, and you should read this in conjunction with the Key Features as it contains other important information. If you require a specific illustration please contact us.

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Policy ConditionsSubject also to the Policy Schedule document:

The policy may be owned or held only as a qualifying investment for an ISA.

The policy shall terminate automatically if it ceases to be owned or held in the ISA.

The life assured is that of the Investor.

The policy shall terminate automatically if it does not satisfy the relevant qualifying conditions in ISA legislation.

The policy, or the rights conferred by the policy or any share or interest in the policy or rights respectively, other than the cash proceeds from termination or part surrender of the rights conferred, cannot be transferred to the Investor, and;

The policy, the rights conferred by the policy and any share or interest in the policy or rights respectively, are not capable of assignment or assignation (other than a transfer to another ISA Manager within the normal rules for ISA transfers), and the rights may vest in the personal representatives of a deceased investor.

The policy is also subject to the Rules of the Society, which can be provided on request along with a copy of the Society’s Annual Report & Accounts.

Policyholders are entitled to attend and vote at the Society’s AGM and will receive notification.

General Conditions An ISA is a scheme of investment managed in accordance with the ISA regulations by the ISA Manager (Sheffield Mutual

Friendly Society, the “Society”) under terms agreed between the ISA Manager and you (the “Investor”).

The ISA investments will be, and must remain, in the beneficial ownership of the Investor and must not be used as security for a loan.

The Society will satisfy itself that any person to whom we delegate any of our functions or responsibilities under the Terms agreed with the Investor is competent to carry out those functions and responsibilities.

On the instructions of the Investor and within the time stipulated by them, all or part of the investments held in the ISA and proceeds arising from those investments shall be transferred or paid to the Investor. The Society will do this within a reasonable time period, not exceeding 30 days.

On the instructions of the Investor and within the time stipulated by them, the ISA, or part of the ISA, shall be transferred to another ISA Manager in accordance with the ISA regulations relating to transfers. The Society will do this within a reasonable time period, not exceeding 30 days.

The Society will notify you if, by reason of any failure to satisfy the provisions of the ISA regulations, your ISA has, or will, become void.

The Product Brochure and Key Features set out how your Investment ISA will operate using plain English and a simple ‘question and answer’ format. Our aim is not to use jargon or small print, but ISA regulations require the Society to set out various standard terms and conditions (the “Terms”) under which your Investment ISA will operate.

These Terms come into force when the policy document is issued and the first premium paid. We may amend or vary these Terms, if we have a valid reason to change them, by writing to you.

These Terms, together with the Product Brochure, Key Features and Application Form, form the basis of the contract between you and the Society upon which we intend to rely. As a member owned organisation we will always aim to communicate clearly and in the best interests of our members, but if you do not understand any points, or you have any questions, please ask for further information.

Investment ISA Terms and Conditions

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Call our team01226 741 000

Sheffield Mutual Friendly Society 3 Maple Park, Maple Court, Wentworth Business Park, Tankersley, Barnsley, South Yorkshire, S75 3DP

Email usenquiries@sheffieldmutual.com

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Quick and easy application process, get in touch today:

Issued by Sheffield Mutual Friendly Society, 3 Maple Park, Maple Court, Tankersley, Barnsley, S75 3DP. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (Financial Services Register No. 139855).

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APRIL 2017

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