The Investment Bond is a life assured single premium investment. It can be set up in a number of ways either on or offshore and can have certain guarantees associated with the plan. These plans can be very useful when planning for Inheritance tax or just gifting money to family members. The investor can switch from one fund to another without personal capital gains tax (CGT) charge arising. Bonds are therefore potentially attractive for investors who want to switch frequently between funds and would otherwise be subject to tax at up to 40%. The funds underlying the investment bonds are normally those managed by the insurance company itself but an increasing number of insurance companies offer links to funds operated by other companies.