1 June 2005
Larger-cap stocks are likely to take over the running from small firms but how fast they will run is another matter.
The FSA should be using its powers to get rid of those in the industry responsible for the equity-release horror.
Alliance & LeicesterFive Year Fixed Rate
Alliance & Leicester International has brought out the capital guaranteed maximum growth bond, a guaranteed equity bond that could mature earlier than its term of five years and six months.
Abbey has been fined 800,000 by the FSA for mishandling mortgage endowment complaints and misleading the regulator over its complaint-handling process.
A West Country financial adviser who stole more than 680,000 from clients to prop up his ailing businesses has been jailed for four years.
The release of many networks' payment menus has fanned the flames of the debate over the relevance of the menu, with IFAs saying the only one benefiting from it is the FSA.
Barclays Financial Planning is claiming that its new Select Choice multi-tie will allow it to provide better deals for customers.
AIG Life has increased the underlying funds available to its unit-linked multi-manager funds by fine-tuning its Active Access fund range.
Alliance & LeicesterFive Year Fixed Rate Mortgage
Alliance & LeicesterRemortgage Exclusive Two Year Flexible Base Rate Tracker
Apcims has not had the depolarisation waiver it had been lobbying the FSA for and has vowed to take matters further.
I would like to thank Alasdair Buchanan for pointing out that I had omitted to point out the tax efficiency of commission v fees in my article (Money Marketing, May 5). I also failed to include more pertinent issues such as why we do not advocate using hourly rates as a charging mechanism, why you should seek to tailor your proposition rather than standardise it and a number of other key considerations.
Bankhall directors Mike Buckley and Gordon Covell have bought mortgage specialist Bankhall Client Services and packaging subsidiary Independent Mortgages Direct after months of negotiations.
Plans to reduce the three-day wait for clearance on electronic payments between banks have been announced by the Payment Systems Task Force.
Beachcroft Wansbroughs plans to double the size of its financial services division within the next 12 months, expanding its sites in Bristol, Birmingham and Manchester.
Prime Minister Tony Blair has launched an unprecedented attack on the FSA for strangling respectable financial services businesses.
BNP Paribas Asset Management has registered 60 of its Luxemburg-based Sicav funds in the UK, providing UK investors with access to these funds for the first time.
Our panel of experts consider the implications of the reintroduction of tax legislation on capital redemption bonds.
The timing of Chancellor Gordon Brown's announcement about the Government's shared equity sch-eme for first-time buyers appeared somewhat puzzling as he had not previously showered much praise on this idea. However, helping this particular sector of the market was an election pledge and restating the Government's commitment to it so soon after the election suggests that the Government sees it as a priority. Indeed, the Chancellor has said he wants the scheme to be ready for next April.
Bristol & West has established the income and growth guaranteed equity bond which combines a guaranteed equity bond with a savings account.
Council of Mortgage Lenders press officer Christopher Dean looks at the practicalities behind the rhetoric of shared-equity schemes
Chancellor Gordon Brown has pledged to reduce the regulatory burden on the financial services industry in a speech launching his Better Regulation Act- ion Plan in Downing Street last week.
Mortgage advisers claim the decision by Purely Mortgages to change into a fee-based firm is a U-turn.
Investment boutique Shepherds, which ran an offshore traded life fund which collapsed, has secured the return of 4m from US authorities but investors could still be 80 per cent out of pocket.
Speculation is mounting that management of the Deutsche equity income trust could switch to Artemis after DWS finds a buyer for its institu- tional business.
Fear of the market being dominated by one wrap provider with superior technology could lead to a single industry-wide standard solution, says Accenture.
Last week, I left you with the tantalising prospect of more on the subject of holdover relief in connection with gifts for inheritance tax planning. The Government introduced anti-avoidance legislation in last year's Finance Act to combat what it believes to be exploitation of this relief. Let us have a look at these provisions.
Following my article in Money Marketing last week, I am grateful to the FSA for clarifying the wording and meanings they are using. This may help to explain some of the confusion in the market.
The FSA has confirmed it is reviewing the funding of the Financial Services Compensation Scheme in response to industry pressure.
Nearly three-quarters of IFAs believe compulsion would be an effective solution to pension problems, claims a survey by Sesame.
The Institute of Financial Planning is running a series of transition workshops to encourage advisers to move to a fee-based basis as financial planners.
With government figures saying 1.25m child trust fund vouchers are still unused, the IMA is offering a free guide to investing in a child trust fund.The guide covers the options available and in particular the risks and rewards involved in investing in shares and/or bonds, using the experience of the Random family as an example.The IMA says the guide is designed to help parents make an informed choice about what to do with their voucher.
I am nearing the end of this series of articles reviewing the progress of key pension issues and highlighting areas where advisers can assist corporate and personal clients.
I get the distinct impression that we all thought the 1 per cent cap was madness. I also get the same uncomfortable feeling that the 1.5 per cent cap is just as daft.
A judge has said that the case of a Nottinghamshire financial adviser who stole 2.7m from clients was the worst he had ever seen.
JP Morgan Asset Management is to enter the UK total return market with its cautious total return fund aiming for 3 per cent a year above cash.
Simon Shaw is one of the best UK fund managers but is little known to IFAs. He has managed the CF Epic UK equity fund since it was launched in October 2003. By April 1, it had risen by over 31 per cent against a rise in the FTSE All Share index of only 11 per cent.
Advising on properties in former European conflict zones could result in the next mortgage misselling scandal, according to Advocate International, the independent property consultants.
Many of you are focusing your efforts on advising clients on suitable planning actions in the run-up to pension simplification but simultaneously you should not lose sight of the significant part that life insurance products can offer alongside approved pension arrangements.
The Berkeley Wodehouse name is to disappear as Lighthouse Group rationalises brand names across its operations to present a clearer identity through all business channels.
M&G is bringing the management of its fund of funds range in house from next month.
Matrix Money ManagementMatrix Ascension Plan 1 Top Up
Morgan Stanley Investment Management has made 11 Sicav funds available to UK investors by obtaining UK distributor status for them.
Morgan Stanley Investment ManagementSicav Emerging Europe & Middle East Fund
Morgan Stanley Investment Management]Sicav Emerging Markets Equity
Morgan Stanley Investment ManagementSicav European Small Cap Value Fund
Morgan Stanley Investment ManagementSicav Japanese Equity Growth Fund
Morgan Stanley Investment ManagementSicav Japanese Value Equity Fund
Morgan Stanley Investment ManagementSicav US Value Equity Fund
Morgan Stanley Investment ManagementSicav US Property Fund
Every now and then, Money Marketing carries a spate of letters about spurious endowment compensation claims.
FSA director of retail policy Dan Waters says there will be no honeymoon period for IFAs after depolarisation came into force on Wednes-day but the regulator will give breathing space to firms struggling to iron out last-minute glitches with their menu.
Norwich UnionNorwich Manager of Manager Cautious Fund
Clients need to be made be aware of the extent of compensation schemes.
The Parvest Latin America Fund is one of 60 funds recently registered for distributor status in the UK.The fund aims for growth by investing in equities and equity-related securities of countries in Latin America. This includes Brazil, Chile, Argentina and Mexico, with some exposure to the US.
I would like to correct a couple of inaccurate statements regarding the article in the May 19 edition of Money Marketing headlined, IFAs can pay in instalments but FSA sets interest at 9 per cent.
I have a number of with-profits investments but am concerned about rec- ent negative press coverage. Should I continue to invest in with-profits?
I have been following with great interest Keith Popple-well's series of articles on pension transfers in Money Marketing.
Investors want a non-traumatic way of getting worthwhile returns.
Property companies are building up investors' hopes about tax breaks available on property investments within Sipps after A-Day through marketing material which ignores the restrictions of holding property in pensions.
Prudential is cutting premiums on its guaranteed protection products after disappointing sales in the first few months after launch.
Prudential is adding a fifth anniversary capital guarantee option to its PruFund investment plan, which will be offered free retrospectively to existing investors.
Many advisers balked at the storyline in Coronation Street when serial killer Richard Hillman missold an equity-release scheme to Emily Bishop, although, of course, his misselling was intended with murder in mind.
I was disappointed by the recent review in Money Marketing on Woolwich Plan Managers' capital growth plan 8. We are all in favour of educated opinion but I am afraid that your reviewer demonstrated neither.
After a successful time at more than one product provider, I decided to become an IFA. By 1985, little had changed in the marketplace for a decade. In the next few years, we would witness changes to our market environment that would create job losses on a scale that would make the recent problems at Rover seem inconsequential.
Royal Liver is offering an improved income protection product to IFAs using its e-only facility.
Selestia is setting up a pension product to take advantage of simplification opportunities.
If IFAs could perform magic, the four words they would use to cast their spell would probably be "lower volatility, better returns".
SimplyBiz is starting an online forum for members to discuss industry issues.
Sipps have been a success since they were introduced in 1989 by Nigel Lawson and the new pension regime should see them flourish further.
Standard Life is setting up an offshore operation in Dublin to sell products back into the UK.
The chief executive of Openwork is an American naval college graduate and a Vietnam vet who believes in leading from the front and he is aiming for multi-tie success by giving advisers a stake in the business.
Recent Sunday papers carried the worrying head- line that Adair Turner, the head of the Govern- ment's Pensions Commission, may be considering making people with university degrees work until they are 70. Now, that appears to have been a misquoting of something he said, but it started a lot of hares running, it is the sort of thing that's bound to worry people isn't it?
IFA Promotion chief executive David Elms is urging the FSA to end customer confusion caused by non-IFAs posing as IFAs on the internet.
The buy-to-let market has come to a standstill as a result of rising interest rates, says the Royal Institute of Chartered Surveyors.
Lifesearch senior technical adviser Kevin Carr on why up-front commission has its place in protection.
Welcome to the world of menu mayhem. IFAs from this week are required to offer their customers a payment menu detailing a series of market averages plus the maximum they may take on a product.
D-Day has come and gone and now is the time for repolarisation as advisers choose which business model they want to build or belong to.
The long debate is finally over and depolarisation has arrived, for better or worse. The menu has been at the very heart of this debate and the maximum commission rates that advisers now have to use have understandably fuelled concern and confusion in equal measure.
The Mortgage WorksThree Year Fixed Buy-To-Let 4.85%
Some people might query whether offshore banking really constitutes an industry in its own right. Surely, it is just an adjunct of the domestic banks? An extra convenience for the expatriate or tax exile? Certainly, that is the way it used to be but globalisation has changed the basic rules of internat- ional banking.
Aegon chief executive Otto Thoresen is calling for an industry-funded generic advice service to raise public interest in saving.
The Mortgage Business is switching to an affordability model rather than income multiples as it embraces the FSA's responsible lending policy.
Legal & General's 1.1m fine for mortgage endowment misselling was slashed to 575,000 by the independent Financial Services & Markets Tribunal last week.
Under 30 per cent of young people have taken out pensions and over 90 per cent believe the Government should provide for them in retirement.
Being cheeky can sometimes pay off.
Webline has rejigged its senior management team, with man- aging director Paul Holland becoming executive chairman.
A Winterthur Life policyholder has seen his refinancing plans wrecked after the surrender value of his life endowment policy turned out to be over 80 per cent lower than the life office's estimate.
The top-performing cash fund delivered nearly three times the return of the weakest over the past three years, underlining the diversity of returns even in the money markets, says Trustnet.