Endowment
This is a popular form of mortgage repayment vehicle and is a combination of life assurance and savings. This type of policy will ensure that your mortgage will be repaid in the unfortunate event that you should die during the term of the endowment. An endowment is designed to provide sufficient funds to repay the capital balance at the end of the mortgage term but it is not guaranteed to repay the loan in full, although some companies offer review facilities to ensure that the policy stays on track.
Most endowments are flexible with a range of options available which can be tailored to match your risk profile. Your adviser will give a much more detailed explanation of the different types of funds you can invest in.
