Money Marketing
12 February 2003

  • 'Definitions as important as price in comparing CI cover'

    13 Feb 2003

    Skandia says IFAs advising on critical-illness cover should pay as much attention to the definitions of illnesses as they do to premiums or face the risk of legal action. Seven out of the 12 CI providers have changed their products in line with the revised ABI code of practice to exclude prostate cancer, according to protection brand manager Shelley Robertson. She says it is common practice to differentiate products on price alone but warns that IFAs do so at their own peril. Robertson ...

  • 'Life firms should hold only 15% in equities'

    13 Feb 2003

    Credit Suisse First Boston analysts are warning that UK insurance companies should hold little more than 15 per cent of their assets in equities because of their high level of guarantees. It would mean a drastic reduction from insurance firms' current equities average of about 40 per cent. The CSFB report, published last week, says that if the equity markets fall further, some smaller insurers could not meet their guarantees and could face insolvency. In the last year, equity ...

  • 'Massive market for products'

    13 Feb 2003

    A potential target market of 10 million consumers earning between £15,000 and £30,000 a year has been identified by the Treasury for its new Sandler suite of products. It says there are in total 15 million "novice" investors who are considering entering the market or who have recently started saving, for whom the products are appropriate. There are three million identified as those in the most need as they are "seriously under-saving" with a further five million to 10 ...

  • 'Revenue plan will mean Isas first, pensions later'

    13 Feb 2003

    Inland Revenue proposals to relax payments into pension schemes means people will pay into an Isa first and a pension later, taking advantage of the best tax relief, say industry experts. IFAs predict that the Revenue's proposal to allow contributions of 100 per cent of salary with an annual cap of £200,000 up to a lifetime contribution limit within a lifetime limit of £1.4m into a pension in any year will push the development of wrap accounts combining Isas and pensions. ...

  • A consumer's view

    13 Feb 2003

    Collapsing stockmarkets, insolvent life companies, war in Iraq - just when you thought it couldn't get any worse, the Government decides to control profit margins on virtually all equity-based financial products. What? Yes - that is what the implementation of the Sandler review means in effect. Last week, the Treasury outlined its proposals to extend stakeholder-type products with a 1 per cent cap on charges and invited representations from interested parties. A range of stakeholder ...

  • A lost cause?

    13 Feb 2003

    For this week's article, I will continue to look at some of the less well known aspects of single-premium bond taxation. My last article considered the situation where a client has gains under a bond and also chargeable gains liable to capital gains tax. However, in the current difficult investment conditions, many clients may find it a luxury to have such problems. The recent depressed stockmarket conditions have led to reductions in the value of investments and thus the reality ...

  • A view to retirement

    13 Feb 2003

    IFAs are often told by product providers about great potential markets and find that the reality can be very different. One area that providers and advisers can all agree is attractive is the at-retirement market. Already, many IFAs have this as a core business area and demographics, coupled with the greater pension awareness and hence funding from the late 1980s onwards, will ensure an increasing market. Phased retirement, income drawdown and the proliferation of new annuity variants ...

  • Abbey Nat scraps bonuses as payouts plummet

    13 Feb 2003

    Abbey National says it will not pay bonuses on with-profits policies with Scottish Mutual, Scottish Provident and Abbey National Life unless contractually obliged to by guarantees. Payouts across Abbey Nat-ional Group's life companies have been slashed by up to 25 per cent. The company has already started selling Prudential with-profits funds after closing its own with-profits funds to new business. But it insists it is still going to be a player in the smoothed investment market ...

  • A-day could herald funding bonanza

    13 Feb 2003

    The onset of the new pension regime in late 2004 to early 2005 will create a bonanza for IFAs as pensionholders look to utilise valuable tax breaks before they are scrapped, the Inland Revenue has admitted. Under the new regime, there will be a lifetime contribution limit of £1.4m and funds exceeding this figure will be hit by a 60 per cent tax bill. But the Revenue has confirmed that pensionholders can fund their pensions in excess of this figure before A-day, when the new ...

  • Advisers do not have to change business models, says Severn

    13 Feb 2003

    IFA firms will not be obliged to change their business models as a result of the draft regulations published by the FSA in CP166, according to head of retail projects David Severn. Severn told delegates at Money Marketing's Top 100 conference last week that while companies could decide to dramatically alter their business models, there is nothing in the document which will force them to do so. IFAs reacted with surprise to Severn's comments, saying that while CP166 is a marked ...

  • Age Concern publish pension guide

    18 Feb 2003

    Age Concern is publishing a guide to help pensioners claim their share of up to £940m in benefits cash. The 'Your Rights' guide will go out on April 7, the Monday after the new tax year starts just after the benefits are increased for the new tax year. Past editions of the book costing £4.99 have sold over 3m copies. It contains information on the new pension credit the new social security entitlement which replaces the minimum income guarantee and will provide ...

  • AITC says scrap VAT on trusts to boost savings

    13 Feb 2003

    The AITC is urging the Government to abolish VAT on the management services supplied to investment trusts, arguing that it reduces their competitiveness compared with Oeics and unit trusts. In its response to the Government's consultation on the way that VAT is levied on pension and investment funds, AITC technical director Ian Sayers says scrapping the tax would bolster savings into Isas, stakeholder and the Sandler products. Sayers says investment trusts suffer discrimination ...

  • AMP offers active and passive choices

    17 Feb 2003

    AMP has extended its fund range to included eight Barclay Global Investors passively managed funds for corporate pensions.The funds offer access to a selection of world indices, with trackers for both equities and bonds. These will compliment existing actively managed Henderson funds and other external fund links.The company now claims to be able to provide corporate pensions with the best of breed in both active and passive fund management.

  • Aviva Funds International opens door to Euro property

    12 Feb 2003

    Aviva Funds International has expanded its range of Privilege portfolio funds with the introduction of the Prvilege portfolio European property fund. This Luxemburg-based Sicav invests in the stocks of property management companies rather than investing directly in bricks and mortar. It will hold around 25 stocks across countries and sectors. The management of the fund has been sub-contracted to Netherlands-based Ohra Asset Management. Raymond Lahaut, who joined Ohra ...

  • Back to nature at Standard

    13 Feb 2003

    Standard Life Investments is running a trade campaign on the theme of Exceptional Investments, Extraordinary World. The main aim is to promote its corporate bond fund and the new UK opportunities fund by using imagery of geological phenomena such as rock formations and slogans including: "Time has built up the worth of our corporate bond fund." Both funds are managed by Mark Niznik, who joined as investment director for UK smaller companies last April. The campaign, developed ...

  • Barclays says hello to Hi-ilda

    18 Feb 2003

    Barclays Private Clients International has created the fifth issue of its high interest index-linked deposit account (HI-ILDA).HI-ILDA 5 is a combination of a guaranteed equity bond and a high-interest account. It is available in a choice of currency denominations - sterling and US dollars.Half of sterling investments will go into a high-interest account, which is fixed at 7 per cent gross for 12 months. The remainder will go into a guaranteed equity bond that tracks the ...

  • Bass Camp was a Womble

    13 Feb 2003

    Another piece of history to add to Diary's occasional series of things you thought you knew but either didn't know in the first place but just thought you did or have forgotten because someone told you at 2am after the Money Marketing awards. Lucian Camp, doyen of financial services advertising was once the bass player with the Wombles, the 1970s fur-covered beat combo, which had hits such as Remember you're a Womble and the soundtrack to the popular series - you know the ...

  • Boom year for Chelsea as lending leaps 36%

    13 Feb 2003

    Chelsea Building Society's gross mortgage lending jumped by 36 per cent over the past year to £1.7bn from £1.3bn. The society's results for 2002 also show total assets increased by 14 per cent to £6.7bn from £5.9bn in 2001 and profits grew by 12 per cent to £49.9m from £44.4m. Chelsea says its net mortgage lending of £721m last year is almost 50 per cent higher than its natural market share, calculated using the ratio of Chelsea's total ...

  • Brewin Dolphin Securities offer fixed fee service

    18 Feb 2003

    Brewin Dolphin Securities execution only telephone and online division Stocktrade, is offering a £14.50 minimum fixed fee for dealing shares up to the end of the tax year. Investors will be able to trade at this price regardless of the size and frequency of the transactions.

  • Cazenove to add Euro focus fund

    13 Feb 2003

    Cazenove is introducing a European focus fund to plug a gap in its range after IFAs and investors urged the firm to launch a more concentrated fund. Provisionally due to launch around the autumn, the fund will be a best ideas fund holding around 45 stocks. It will seek investment opportunities from across all sectors in Europe with what is likely to be a market-neutral approach. Cazenove says it has not decided whether the fund will be a hedge fund or whether it will be listed ...

  • Chase de Vere chief Kennedy leaves in shake-up

    13 Feb 2003

    Chase de Vere chairman Ian Kennedy, who is also chief operating officer of owner Bank of Ireland UK Financial Services, is leaving the group in a management shake-up. As part of the restructuring, Roy Keenan is being brought over from Dublin, giving up his role as group chief development officer, to become BoI UK Financial Services chief executive in charge of Chase de Vere, national IFA MX Financial Solutions and Bristol & West. From March 1, Keenan replaces Jeff Warren who ...

  • Clerical cuts up to 19% off WP bonuses

    13 Feb 2003

    Clerical Medical has cut up to 19 per cent off the value of its with-profits policies. It blames the cuts on severe investment conditions and accepts that there will be many policies left without terminal bonuses in addition to those policies which had their bonuses wiped out after Clerical's bonus declaration last August. The company has cut the annual bonus to 3 per cent from 4 per cent for life policies and to 3.5 per cent from 4.5 per cent for pensions. A £50 a ...

  • Cultural shift is needed, not Sandler's suite

    13 Feb 2003

    So, HM Treasury have now published the long awaited Proposed Product Specification for Sandler Stakeholder Products. I have been through the document and I cannot decide whether it is hilarious in its sheer misguidedness or completely depressing in its total naivety. As we all know, in June 2001 the Government commissioned Ron Sandler to identify the competitive forces that drive the retail financial services and to suggest policy responses to ensure that consumers are well served, ...

  • Discount deals put Portal into fund top five

    13 Feb 2003

    Money Portal, the company set up to buy discount brokerages, has acquired Willis Owen and HCF Partnership as part of its plan to become the leading distributor of UK retail funds. In the first in a series of purchases which will see the company make three further acquisitions worth £20m by March, Money Portal has paid an undisclosed sum for the two brokerages, which will con- duct direct-offer discount business only. The deal has been struck by Money Portal managing director ...

  • Disdain for curb on suite equities

    13 Feb 2003

    IFAs and product providers have poured scorn on the Treasury's recommendation that the equity products in its suite of stakeholder products should have a maximum equity exposure of 60 per cent. In its consultation paper on the Sandler stakeholder products, the Treasury is proposing the unit trust and the underlying assets of the with-profits and pension products should mirror the strict constraints of a cautious managed fund. This means they cannot allocate more than 60 per ...

  • Door is opened to annuities, then slammed shut

    13 Feb 2003

    The door has been opened by the Treasury to extending the Sandler suite of simple products by up to six products, although it has at the same time ruled out half of them as being unsuitable. It is forming a panel of providers, consumer groups, trade bodies, regulators and Government officials which will meet to sort out the final details of the products. Last week's consultation paper into the Sandler products proposed the inclusion of a guaranteed, cash-based, term insurance, ...

  • E-developments will overtake seller's packs

    13 Feb 2003

    I was interested to read the article, Seller's packs widely welcomed in survey (Money Marketing, January 16). Any initiative which aims to improve the housebuying process can only be a good thing, particularly as England has one of the slowest homebuying and selling processes in Europe. However, seller's packs are by no means the panacea to solving the gazumping problem. There is little evidence that seller's packs in isolation will significantly reduce gazumping. In ...

  • Edinburgh offers classic Pep solution

    13 Feb 2003

    Edinburgh Fund Managers has established the Classic Pep transfer that provides investors with access to four Edinburgh funds. This product follows in the footsteps of the Classic maxi Isa and allows investors to choose Edinburgh performance portfolio, Edinburgh fund of funds portfolio, Edinburgh managed growth portfolio or Edinburgh monthly income portfolio funds. Edinburgh performance portfolio invests mainly in the UK and invests in funds such as Credit Suisse income, ...

  • Eight IFA firms to take tech agenda to the providers

    13 Feb 2003

    A leading group of IFA firms, including Positive Solutions, Towry Law and network Berkeley Berry Birch, are working together to take the IT agenda to technology providers. The association is forming a group strategy for "adviser-led technology" which it will take to various IT providers. It hopes eventually to challenge Origo's domination. It is drawing up a prioritised statement of needs for IT systems which it hopes will significantly cut costs for advisers and solve current ...

  • Equitable hit again as court rejects its claim Against auditor

    13 Feb 2003

    The High Court has dealt a hugely embarrassing blow to Equitable Life and its lawyer chairman Vanni Treves by largely striking out its £2.6bn claim against its former auditor Ernst & Young. In a scathing judgment, Mr Justice Langley describes Equitable's case as lacking "rigour and reality". He added: "I do not think it is right that Ernst & Young should face claims which can be shown to have so many basic flaws." He did, however, say part of Equitable's claim ...

  • Ex-bank and society staff 'will be new generation of advisers'

    13 Feb 2003

    The next generation of IFAs will be former high-street bank and building society employees who decide to become independent, according to a panel of leading advisers and product providers. Speaking at the Top 100 Summit, members of the panel of IFAs and providers said the Sandler suite of products, if adopted by high-street providers en masse, could mean fewer bank and building society employees needed to advise on products. Scottish Widows intermediary and partnerships director ...

  • Firms boost pensions contributions

    18 Feb 2003

    Employer pension contributions have risen on average by 25 per cent over the last two years as companies move to address scheme shortfalls caused by poor equity returns and increased longevity according to research from Income Data Services. It shows companies paid an extra £6bn into their schemes in the last 12 months.

  • FMO setting up adviser network

    13 Feb 2003

    First Mortgage Options, which provides nonconforming and sub-prime loans, is setting up an intermediary network offering exclusive products, services and technology support. FMO is aiming to have 200 member firms in six months and 450 by the end of the year. It is running a series of 18 roadshows in the UK to attract members starting in Bristol on March 18. The company ran a pilot for the network last September to a limited group of about 30 brokers. It is putting together ...

  • Focus on strategy

    13 Feb 2003

    Mentor Financial Services is holding a series of training days focusing on strategic planning services. The workshops will be open to all IFAs and will be lead by Mentor Financial Services chairman Tony Granger, author of a number of books on finance and retirement issues. Guest speakers will also attend the bigger events later in the year. The trustee investments and trust plan services event will be held on March 13 in Birmingham. Training starts at 9.30am for 10am and finishes ...

  • Foresters donates £600k to Barnado's

    13 Feb 2003

    Foresters is donating a further £600,000 to Barnardo's on top of the £1m it has already given. The donation comes as Foresters extends its four-year partnership with the children's charity for a further three years. Barnado's is planning to use the extra funding to support its early years and under-fives programme. The next fund-raising event sponsored by the group will be the Foresters Big Toddle in June, which involves parents accompanying their toddlers ...

  • Former Sedgwick boss joins Tenet

    13 Feb 2003

    John Dick, the former managing director of Barclays Bank subsidiary Sedgwick, is to run a new adviser support company for IFA group Tenet and help integrate its new acquisitions. Dick will become group director of business development at subsidiary Tenet Business Solutions. His appointment is part of an expansion and recruitment drive by the group, which owns the M&E and Interdependence networks, mortgage network IMA and IFA Professional. Joining him to launch TBS will be Vicky ...

  • FSA looks to apply Sandler model to WP

    13 Feb 2003

    The FSA is questioning the industry on the implications of applying Sandler's model to all new with-profits business. In Discussion Paper 20: Issues For With-Profits Arising From The Sandler Review, the FSA says it strongly endorses Sandler's proposals for modernising with-profits. The document discusses the implications for existing with-profits funds which would have to be closed, how the issue of orphan assets would be dealt with and how to stop consumers selecting against ...

  • FSA says £110m key facts are vital for consumers

    13 Feb 2003

    The FSA admits that its proposals for a new disclosure regime will be an expensive burden on the industry but says it is a necessary move to ensure that consumers understand the products they are buying. As revealed in Money Marketing in January, the proposals could cost the industry £110m although the regulator says it is planning a phased introduction to minimise the impact. The proposals, outlined in CP170, Informing Consumers: Product Disclosure at the Point of Sale, will ...

  • FTBs struggling as mortgage costs rise

    13 Feb 2003

    First-time buyers are finding it increasingly difficult to get on the property ladder as affordability levels increase, according to Cheltenham & Gloucester. Its quarterly housing affordability index found the cost of a mortgage for an average single-income homebuyer per £100 of take-home pay rose by 8.8 per cent to £33.40 in the final quarter of 2002 from £30.70 in the third quarter as house prices continued to rise. But the present cost is still less than half ...

  • Halifax is forecasting 9% price increase this year

    13 Feb 2003

    Average house prices in the UK increased by 1.5 per cent in January to £123,451 from £121,627 last December, according to latest research by the Halifax. Its monthly house price index reveals an annual rise jump of 24.9 per cent from the same time last year when the average price was £98,840. Halifax says this signifies that the housing market remains strong and that despite continuing price rises, affordability is manageable. It says loan payments in the last quarter ...

  • Harvests from small holdings

    13 Feb 2003

    If you want to own UK equities, go for a smaller companies fund every time. Consider the last five years. Despite similar performances from the FTSE All Share and FTSE Small Cap indices, 50 per cent of UK smaller company trusts outperformed the FTSE All Share index by between 2 and 132 per cent. In the UK general growth sector, only 40 per cent of funds outperformed the FTSE All Share by between 0.2 and 77 per cent. The bottom-performing UK general growth fund was down by 71 per ...

  • Have a try at Pru's fantasy rugby league

    13 Feb 2003

    Prudential is inviting IFAs to compete in its Fantasy Six Nations Rugby League for a chance to win a holiday in Mauritius or a trip to the Monaco Grand Prix. IFAs can visit the Pru's website to select and monitor their team's progress through this year's championship. There is a lucky-dip facility for those who find it too tricky to chose their ideal line-up. There is also the option to set up a private league to compete against colleagues or rival offices. The team ...

  • Heavy Petting

    13 Feb 2003

    I have seen a number of articles in the press recently about inheritance tax schemes. I am interested to know what schemes are available. How do they work and what benefit would they be to me? Life insurance companies have developed a variety of schemes designed to reduce an individual's potential IHT liability while at the same time maintaining or increasing their income. One of the most interesting (and possibly controversial) is the Clerical Medical scheme, known as ...

  • Henderson gets fixed on hedge funds

    14 Feb 2003

    HENDERSON GLOBAL INVESTORSGLOBAL FIXED INCOME ABSOLUTE RETURN FUNDType: Hedge fund Aim: Growth by investing in fixed income securities Minimum investment: Lump sum $100,000 Place of Registration: Cayman Islands Investment spilt: 100% in fixed interest securities Charges: Annual 1.5% Commission: Initial up to 3% Tel: 0800 881144The panel: Nicholas Howe, portfolio manager, Accrue Investment Management, Martin ...

  • I don't want to go to Chelsea

    13 Feb 2003

    Cross-dressing is something that Money Marketing assumed was reasonably rare among fund managers (as in less than 10 per cent sport both a beard and lipstick) until recently, when the Diary was enlightened by Threadneedle communications director Richard Eats. It transpires that, as a wannabe Glam Rock star in the 1970s, Richard strutted his way to see Chelsea FC play at their Stamford Bridge ground, resplendent in his mother's old fur coat. Despite its proximity to the Kings ...

  • IMA warns on 'woolly' definition of status

    13 Feb 2003

    The Investment Management Association director of training and education Victoria Nye has branded the FSA's definition of advice and adviser status as "woolly". The IMA is calling for a clearer explanation of exactly how the FSA defines an "adviser" and wants to see it narrow down exactly what constitutes fully fledged adviser status. It wants a clear differentiation between advisers, financial planners and information providers in FSA consultation papers. It is calling for ...

  • In the wrong

    13 Feb 2003

    It is encouraging to note from Mr Jamieson (Money Marketing, January 23) that we may ignore his forecasts as they will be wrong. The remainder of his correspondence is therefore superfluous. Chris Bryans CW Financial Consultants, London W1

  • Independent view

    13 Feb 2003

    It's official - the end of the world is not now nigh. We seem to have spent the last two years in a perpetual state of dread, waiting for the next regulatory bombshell that is going to destroy independent advice. CP166 has just been published and, low and behold, Armageddon has been postponed, again. Threats to our profession are not new but the pace of change (or interference, as some view it) has been breathtaking over the last two years. First, we waited for Sandler and Pickering ...

  • Ingledew in call for IFAs to drop independent tag

    13 Feb 2003

    Berkeley Berry Birch deputy chief executive Stephen Ingledew believes IFAs should drop their independent tag. He says the "blinkered" approach to regulated advice forces IFAs to try and cover all bases rather than focusing on advice. Ingledew believes clients are already in an environment where it is difficult to tell the difference between an independent and tied adviser. After CP166, he says the marketplace will be populated by advisers wearing "grey" hats and working simultaneously ...

  • Inside edge

    13 Feb 2003

    Perhaps the most surprising thing about CP166 is that there are no big surprises. However, this does not mean there are no interesting developments. Before examining these, we should take the opportunity to cautiously welcome and even congratulate the FSA on proposals for market liberalisation, which will be an important step forward in providing consumers with increased choice while still providing a basis for independent advice to flourish. For a regulator to introduce such a ...

  • Insight aiming to revitalise tired Isas

    13 Feb 2003

    Insight Investment is offering two Isas aimed at investors who want to revitalise underperforming portfolios or diversify their holdings. The Investment Focus plan offers income and growth options. Insight says the plan is suitable for experienced investors who want to review their investments and transfer underperforming Peps and Isas. The income option gives access to the Insight equity high income, monthly income and global bond funds. The growth option is split between the ...

  • Insight Isa aims for the heart of UK investors

    14 Feb 2003

    Insight Investment is offering the Insight Investment focus plan, an Isa that enables investors to focus on income or growth. The Isa provides access to a range of six Insight funds - three are available for growth and three are for income. This is designed for investors who currently have underperforming funds and who are reviewing their existing Isa arrangements. Income investors can choose the Insight Investment's equity high income, monthly income and global ...

  • Investment analysis

    13 Feb 2003

    Another tough and volatile five days for global markets left most indices lower last week. The exceptions were the recently hard hit UK market, which was boosted by regulatory rule changes in the life insurance industry, and Japan, which was supported by the exporters. However, by the end of the week, the FTSE World index had lost 2.3 per cent. Despite some positive economic data at the start and end of the week, US markets ended lower. On Monday, the Institute of Supply Management's ...

  • Investment view

    13 Feb 2003

    When assessing the market's response to last week's interest rate cut, the word "underwhelmed" springs to mind. Shares were already struggling, with good days looking suspiciously like bears closing out profitable positions. Any hopes that cheaper money might bring the buyers out were swiftly dashed. Of course, manufacturing output figures published the following day gave a clue as to why the MPC acted as it did. Output for 2002 as a whole was down by 4 per cent - the worst performance ...

  • Investor gloom at lowest level since September 11

    13 Feb 2003

    Investor confidence is at its lowest level since the terrorist attacks on the Twin Towers on September 11, 2001, according to research commissioned by JP Morgan Fleming. Forty-two per cent of investors questioned for the survey predicted that stockmarkets will be even lower in six months' time. Only 22 per cent believe there will be a rally within this period. The company's confidence index stands at 42 points compared with 44 points after September 11 and 83 points a year ...

  • Investors put trust in fund firms with over 10 years experience

    13 Feb 2003

    Most UK investors would not trust a fund management company with their money unless it had been established for more than 10 years, according to research commissioned by Fidelity. Fifty-seven per cent of the 2,000 investors questioned by Mori at the end of last year said they would only trust an investment house which had been up and running for 10 years. Taken as a mean average, that figure rises to 14 years. Experienced investors - those who have been investing for at least 10 ...

  • Irish stakeholder has an initial charge of 5%

    13 Feb 2003

    The Irish government is going ahead with its version of stakeholder pensions with a 5 per cent initial charge and 1 per cent annual charge. The Irish Pension Board will this week approve the new standard personal retirement savings account that is being billed as a low-cost option for people without a pension. UK product providers say introducing a 5 per cent up-front charge in the UK would kickstart dismal stakeholder sales by giving them room to pay for advice. From this ...

  • Jelf Group buys SLF Insurance Services

    18 Feb 2003

    The Jelf Group has bought general insurance broker SLF Insurance Services. The purchase is part of plans for Jelf, which includes Jelf Insurance Services, a corporate health division, a corporate credit company and a financial planning company to expand its independent insurance advice arm. Managing director Gary Chandler says: "This is a significant development for the group, designed to add further breadth to the services we offer to our corporate clients."

  • Jewel Of a Prize

    13 Feb 2003

    Holly Golightly is clearly dazzled by the wad that Robert Clarke of Smith and Pinching Financial Services has scooped for winning the recent Scottish Equitable/Money Marketing Breakfast at Tiffany's pensions competition. Clarke, who received the prize of a trip to New York and $1,000 to spend at Manhattan's uber-chic jewellers Tiffany's. Pictured right presenting the prize is Scottish Equitable head of group pension sales Steve Lewis. The Diary would like to know why ...

  • Julian Gibbs

    13 Feb 2003

    GE Life, part of one of the biggest groups in the world, has teamed up with Abbey National Treasury Services to provide a structured product, income option plan 4, with a higher income than is available elsewhere. There are two options. One pays 9 per cent annual income or 30 per cent growth and the other 7 per cent annual income or up to 24 per cent growth over a three-year term. The 9 per cent option pays back capital in full provided the Eurostoxx 50 index is never more than ...

  • L&G offers refund deal on Pep and Isa charges

    13 Feb 2003

    Legal & General is promising to refund the 1 per cent annual management charges for Pep and Isa transfers as long as the investment remains with the company for the rest of the year. The offer applies to transfers into L&G's index trackers or high-income trust made before April 30. A cheque will be paid early next year, provided the money is held in the fund until December 31. The offer applies only to lump-sum investments and not regular savings. L&G is a specialist ...

  • Life after N2

    13 Feb 2003

    A flurry of FSA fines in December showed the financial services industry more clearly than ever that the FSA is serious about clamping down on instances of misselling, ineffective management and poor corporate governance. A year on from the introduction of the N2 regime, the FSA has not shied away from some high-profile naming and shaming. How does the insurance industry shape up in all this? Back in November 2001, the FSA observed that "the insurance industry has not moved ahead as ...

  • Mairs tale

    13 Feb 2003

    As part of my examination of the important conditions that must be satisfied in securing exemption from tax on redundancy payments, last week I progressed to look at some of the case law and concessions that exist on this subject. A significant characteristic of a payment under the enhanced redundancy scheme was that it was to compensate or to relieve an employee for the consequences of his not being able to continue to earn a living in his former employment. Accordingly, such ...

  • MarketPlace offers two-year tracker

    13 Feb 2003

    The MarketPlace at Bradford & Bingley is offering borrowers access to an exclusive flexible two-year tracker loan funded by the Woolwich. The loan, which is only available on remortgages, is part of Woolwich's Open Plan flexible mortgage range. The rate is -0.01 per cent of the bank base rate for two years, giving a current rate of 3.74 per cent. After two years, the loan will revert to 1.5 per cent above base. It is available up to 90 per cent loan to value and there is ...

  • MCCB will name and shame and tighten up on PI

    13 Feb 2003

    The Mortgage Code Compliance Board is set to change its rules to allow it to name and shame firms it has disciplined and to tighten up its professional indemnity insurance requirements. It is proposing the two rule changes from May 1, when brokers must re-register with the MCCB, and is giving firms until March 7 to consult on the amendments. Under the current regime, the voluntary regulator can only publicise disputes which are resolved by the independent disciplinary committee. Where ...

  • Mortgages plc in loan design deal for regional societies

    13 Feb 2003

    Mortgages plc is setting up an initiative aimed at helping regional building societies compete with bigger lenders. The scheme, called Mutual Co-Operative, will work with a group of societies to design products and criteria, agree the terms and volumes of business, sell the mortgages over a set period and pass tranches of assets on to the members. Mortgages plc is encouraging mid-sized societies to join the Co-Operative to tackle pressures on margins. It says societies and specialist ...

  • Multi savings for IFAs

    13 Feb 2003

    The multi-manager or fund supermarket concept which is firmly established in the US is relatively new to the UK but all the signs are that the market share of these providers will grow rapidly as more new players enter the market. This trend is further fuelled by the fund management groups looking at this new breed of provider as being the sole or at least primary distribution channel into the retail investment market while they concentrate their efforts on the discretionary IFAs. A ...

  • Mutual insurance firms boost their market share

    13 Feb 2003

    Mutual insurance companies are increasing their share of the market at the expense of their proprietary rivals, according to research by the International Cooperative and Mutual Insurance Federation. Mutuals took 13 per cent of the market in 2001 and premiums soared by 26 per cent. During the same year, the industry as a whole contracted by 14 per cent, leading ICMIF to conclude that mutuals outperformed by 40 per cent. It says the trend is replicated all over Europe, drawing on ...

  • New guidance on cash equivalent transfer values

    17 Feb 2003

    The Occupational Pensions Regulatory Authority has published new guidance for pension scheme trustees, auditors and actuaries on payment of cash equivalent transfer values.The guidance is a form of Opra update, which outlines the circumstances in which the regulator may allow trustees more time in which to provide a written statement of entitlement to members requesting a transfer.

  • Newcastle takes five

    17 Feb 2003

    Newcastle Building Society has established a second edition of the guaranteed five star bond. This guaranteed equity bond has been designed for the current environment of volatile stockmarkets and is linked to the performance of five actively managed funds. These are Credit Suisse US$ bond fund, Fidelity Funds European growth, Franklin Templeton mutual beacon, GAM UK diversified fund and Schroder ISF Japan equity fund. All funds carry an equal weighting and all have Standard & ...

  • Nick Bamford

    13 Feb 2003

    I a cynical world, Nick Bamford, the new chairman at Sofa, is a rarity. It seems the Informed Choice managing director is universally liked. It is easy to see why because Bamford is a thoroughly nice man. If it were not for Sandhurst giving the 17-year-old "long-haired son of a milkman" the brush-off for "not having the right background", then financial services would be short of a gentleman. As it turned out, Bamford "fell into financial services" after leaving school in Bristol ...

  • No more beating about the Bush

    13 Feb 2003

    While Rome burns - or at least the future of UK pensions continues to do so - the Bush administration has come up with a radical simplification of the strategy for lifetime savings. The White House, viewed from outside the US, appears to be focused entirely on Iraq, but the administration has been focused on the pension and savings gap. Announcing his budget package, President Bush said: "Americans can help secure their own future by saving. Government must support policies that ...

  • Norwich Union - Prosper (Income) Bond Issue 3

    14 Feb 2003

    Friday, 14 February 2003Type: Guaranteed equity bondAim: Income linked to the performance of the FTSE 100 indexMinimum-maximum investment: £5,000-no maximumTerm: Five yearsGuarantee: Capital returned in full provided the index does not fall by more than 30% of the starting level and not below it at the end of the termReturn: 5.5% net income a year, 0.44% net income a month, or 29.6% net growth at end of termClosing date: March ...

  • Odey Asset Management - Pan European Fund

    12 Feb 2003

    Wednesday, 12 February 2003Type: UCITSAim: Growth by investing in European equitiesMinimum investment: Lump sum euros £100,000Place of registration: DublinInvestment split: 100% in European equitiesCharges: Initial 5%, annual 1.5% Commission: Initial 3%Contact: www.odey.com

  • Out of context

    13 Feb 2003

    •"Is that for your private collection?" - Conservative Treasury researcher Bob Seely to an MM reporter asking for a photo of Tory MP Stephen O'Brien. •"In some pictures his hair is darker than others. He looks like he has been drinking Grecian 2000." - Scottish Life head of communications Alasdair Buchanan on head of pension strategy Steve Bee. •"The majority of my clients think Harrods is downmarket." - Advisory + Brokerage Services chief executive Gareth Marr. •"Clip-o

  • Outside edge

    13 Feb 2003

    Grinding through the 50 pages of CP166, I am reminded of the words of HL Mencken: 'To every difficult and complex problem there is an obvious solution that is simple, neat and utterly wrong." No chance of the FSA falling into that trap, then. But after a lifetime of working with actuaries, I am equally well aware of the dangers of composing solutions of Byzantine complexity which, once exposed to the realities of the commercial world, generate absurd and unexpected outcomes. Let's ...

  • Pick and mix

    13 Feb 2003

    New Star has recently acquired six Aberdeen Asset Management unit trusts worth £1.85bn. In this economic environment, can you see other acquisitive fund managers cherrypicking the funds of rival firms instead of buying businesses outright? Patel: The New Star and Aberdeen deal was unusual in that Aberdeen's name has already been tarnished over the splits debacle and selling their biggest funds to New Star has probably been one of the best moves they could have made. I am not ...

  • Product matters

    13 Feb 2003

    For clients wanting to take some risk, the NDF protected income plan 1 offers a very attractive rate of income for the level of risk to capital. As this plan was priced before the recent interest-rate cut, the annual income level of 7 per cent for five years (or 0.54 per cent monthly income) seems even more attractive. The plan will repay the original capital provided that the FTSE 100 does not halve in value and fail to recover to the starting level by the end of the five-year ...

  • Pru predicts difficult mortgage market

    18 Feb 2003

    Prudential Mortgage Services recorded applications worth £24.5bn in 2002, up from £14.9bn in the previous year and made £18.3bn completions, up from £10.9bn. It says this performance makes it the UK's biggest mortgage club, facilitating 204,000 new mortgages last year, accounting for 8.5 per cent of all mortgages arranged. But it warns the next 12 months will be extremely testing as the competition for business quickens in a market that has had a slower ...

  • Pru survey shows average pensioner's income is £13.7k

    13 Feb 2003

    Britain's 10 million pensioners have a total annual income of £142.88bn, averaging £13,765, according to new research from Prudential. But only 3 per cent have £40,000 a year or more and one in three pensioners survive on annual income of £10,000 or less in the survey of 1,200 retired people carried out last December. Retired people in Wales have the highest average annual income at £15,386 while people in the North-east fare worst on £11,460. Ten ...

  • R&SA outsources closed life admin

    18 Feb 2003

    Royal & Sun Alliance has signed an outsourcing deal with Unisys to administer its closed life business for an initial period of ten years. The move will see 1,700 employees transfer to Unisys under the deal. R&SA says the arrangement will result in efficiencies and cost savings for policyholders. R&SA will retain responsibility for regulatory issues.

  • Raising the mark on standards

    13 Feb 2003

    This year will be an important one for the Raising Standards quality mark scheme. Just two years after its creation, we have achieved critical mass, with more than 50 per cent of the market accredited or preparing for accreditation. Standard Life, Halifax Life and Clerical Medical are in the dry-run phase - the first step towards securing the quality mark. But we cannot afford to rest on our laurels, particularly as the performance of the markets puts the industry under pressure ...

  • Religious cult object to annuities

    18 Feb 2003

    Religious sect the Christian Brethren is lobbying the Government to allow an alternative to annuities as it objects to pooling funds with non-Christian Brethren. Responding to the sect's concerns Treasury financial secretary Ruth Kelly says the DWP consultation will look at alternative ways of turning pension savings into income in retirement that replicate annuitisation without pooling funding.

  • Revenue in rethink on commercial property in SSASs

    13 Feb 2003

    The Inland Revenue has backtracked over curbs on small self-administered schemes owning commercial property used by the business of the sponsoring employer. The leader of the Revenue pension simplification review team Peter Hopkins told the Taxbriefs conference in London last week that it wanted to allow property investment by SSASs if possible. The Revenue simplification paper, published last December, called for restrictions on commercial property transactions with sponsoring ...

  • Selestia links with IFAs for Sipp and drawdown

    13 Feb 2003

    Fund supermarket Selestia is moving into the Sipp and drawdown markets in a series of joint initiatives with pension specialist IFAs including Hornbuckle Mitchell. Selestia will provide the portfolio construction and asset allocation for clients buying a Sipp or drawdown wrapper from Hornbuckle, which will offer access to the service through the supermarket's own brand. Investment tools are usually white labelled by IFAs but both companies believe the use of separate brands ...

  • Severn says IFAs can challenge the big banks

    13 Feb 2003

    The FSA thinks that few direct salesforces will become multi-tied but says IFAs who choose to split their businesses could mount a challenge to high-street banks. Speaking at the Money Marketing Top 100 Summit last week in Croydon, FSA head of retail projects David Severn said he did not believe that many current tied players would act to take advantage of the changes to the distribution regime. He said while they may choose to fill gaps or replace existing products with better ...

  • Sign up for adviser.tech in Manchester

    18 Feb 2003

    The Manchester adviser.tech event - the only specialist technology conference and exhibition for financial advisers and their support staff - takes place at the G-Mex Centre Manchester on Tuesday 4 March 2003. More than 40 life offices, fund managers and technology companies are supporting the event, including Microsoft, IBM, Origo, The Exchange and AssureWeb. Full details are included in the new edition of the Money Marketing technology guide for advisers, this week distributed ...

  • Skipton Building Society - 2 Year Fixed Rate Bond

    18 Feb 2003

    Tuesday, 18 February 2003Type: High interest accountMinimum-maximum investment: £1,000-£10,000Interest rate: 3.8% gross a yearTerm: Two yearsOffer period: Until further noticeWithdrawal penalties: No withdrawals permitted during termTel: 0800 446776

  • Smee in call for test runs of FSA's key facts regime

    13 Feb 2003

    The FSA should test its proposed disclosure document in a series of pilot schemes to ensure that consumers will take to it before forcing the industry to embark on the costly exercise of implementing it, says Aifa director general Paul Smee. Speaking at Money Mark-eting's Top 100 Summit in Croydon last week, Smee said he did not think the regulator had carried out sufficient research to justify the enormous expense which the introduction of the key facts document would entail. FSA ...

  • Smith defends means-testing of pensioners

    13 Feb 2003

    Replacing means-tested pension benefits with a flat-rate pension payable to all would hit the poorest pensioners by £17 a week, says pensions minister Andrew Smith. Reaffirming the Government's commitment to the pension credit, which comes into effect in April, Smith told delegates at the Taxbriefs conference in London last week that the UK's current state pension funding is affordable and sustainable. He argued that targeting poorer pensioners with means-tested benefits ...

  • Sole trader Reid links up with Raymond James

    13 Feb 2003

    One of the best-known directly regulated sole traders Robert Reid is moving his fee-based practice Syndaxi Financial under the Raymond James banner after nearly two decades operating on his own. The shift is part of Reid's expansion plans for his firm over the next 12 months, which will include bringing more registered individuals on board. Reid, a former Sofa chairman and an outspoken industry commentator, will now operate as an appointed rep, a move that will be watched clo-sely ...

  • Special sits manager Warnock Quits Jupiter

    13 Feb 2003

    Jupiter's UK special situations fund manager Kenneth Warnock is leaving the company after two years in the role. Jupiter describes Warnock's performance as "out of step with the market". He has resigned to travel and to move back to his native Scotland, where he is expected to take time out from fund management. As a growth manager, Warnock has struggled against the value tide since taking over both the funds - the £110m special sits and the £105m enhanced income ...

  • Stakeholder has excluded poor, claims Standard Life

    13 Feb 2003

    Stakeholder has excluded the poor from pensions rather than reaching out to them, according to Standard Life. It also warns that providers will turn away from the new Sandler suite of products if it includes a 1 per cent charge cap. Marketing director Barry O'Dwyer told the Taxbriefs conference that providers are not interested in marketing 1 per cent products as they only make a profit after 12 to 15 years. He said stakeholder's open architecture creates an ideal environment ...

  • Standard defends equity weighting

    13 Feb 2003

    Standard Life has defended its pro-equity weighting amid mounting controversy about the impact on its financial strength. The company says its book of guaranteed business will not force it into selling more equities despite suggestions by life analyst Ned Cazalet that it might have to sell as much as £3bn in equities. At a meeting with IFAs in London last week, Standard sales and development act- uary Chris Hancorn came under pressure from advisers although opinion was ...

  • Standard says Govt figures wrong over lifetime limit

    13 Feb 2003

    The number of people who will be hit by the £1.4m lifetime limit could be three times the figure stated in the Pensions Green Paper, warns Standard Life. It says the Green Paper only refers to the 5,000 individuals with personal pensions of over £1.4m but does not mention executive pension plans over the proposed limit, which it estimates totals another 10,000 plans. Standard says people up to or approaching the £1.4m limit will switch from equities to fixed interest ...

  • Swiss Life signs up to protection website

    13 Feb 2003

    Swiss Life is the first brand to enlist on Monevate's IFA and consumer protection website. The site will be up and running at the end of March and will enable transactions to be completed in just 15 minutes. Standard Life and Scottish Provident are also set to join, along with Bright Grey when it launches its first products. The site will eventually operate with six providers, with the final two likely to come from Scottish Widows, Legal & General and Skandia. Once the ...

  • Tables are turning

    13 Feb 2003

    In my last article, I started to look at the structure, meaning and implications of mortality tables, concentrating on the parts of those tables which indicate the remaining life expectancy of a male of a given age. I particularly stressed the importance of understanding that the tables are constructed on an historical basis and should not be taken - as is often the case - as being predictive. This point is particularly important in noting the improving life expectancy of males over the ...

  • Taking stock of the Isa tax axe

    13 Feb 2003

    The Government seems steadfast in its determination to abolish the 10 per cent tax credit on dividend distributions in Isas and Pima remains steadfast in its determination to oppose this move. Make no mistake - our campaign goes on. Of course, we understand the political difficulty. The overall move on tax credits is a part of the package which was set in train right at the start of Gordon Brown's Chancellorship in his first Budget in June 1997. That package has also raided ...

  • Talkback

    13 Feb 2003

    "No I don't think it will work. A captive fund will just end up attracting all the firms that failed to get cover initially and the whole thing is going to be a very expensive process." Neil Sims, Beckett "Yes, there is no reason why not. I hope it can significantly alleviate the problem but in practice it has to be a commercially viable proposition." Malcolm Mitchell, Plan Invest "No, it won't work as a solution. There has to be a more competitive market for it to ...

  • Teather & Greenwood - Childcare Corporation 6

    18 Feb 2003

    Tuesday, 18 February 2003Aim: Growth by investing in children's day nurseriesMinimum investment: Lump sum £2,000Opening/closing date: January 28, 2003/April 4, 2003 for 2002/2003 tax year, May 30, 2003 for 2003/2004 tax yearCharges: ImplicitCommission: Initial 2.5%Tel: 020 7426 3204

  • Teather & Greenwood - T&G Aim VCT

    12 Feb 2003

    Wednesday, 12 February 2003Aim: Growth by investing in Aim quoted and unquoted companies and fixed interest investmentsMinimum investment: Lump sum £2,000Opening/closing date: February 5, 2003/April 5, 2003 for 2002/2003 tax year, April 30, 2003 for 2003/2004 tax yearCharges: Initial 5.5%, annual up to 3.5%Commission: Initial 2.5%Tel: 020 7426 3204

  • The glare goes off polarisation

    13 Feb 2003

    Could it be a case of as you were for IFAs? The FSA head of retail projects David Severn said as much at the Money Marketing Top 100 summit last week. Analyses by many providers and IFAs suggested that in the next few years the market will, by and large, remain polarised, perhaps between IFAs and Sandler-selling direct operations with some shading into multi-ties. As Severn indicated, IFAs are free from a regulator paying obsessive attention to how they are paid although it is ...

  • The hole truth about suite

    13 Feb 2003

    He who pays the piper calls the tune. Not when it comes to the FSA, it doesn't. They are more than happy to waste everyone's time and money on flogging a dead horse. Mr Sandler's "simplified product suite" is a non-starter. No one wants them. The consumer does not. (Avoid missselling, missbuy instead). Product providers don't want them (they have lost enough money on stakeholder already). European directives on insurance mediation make two of the three "options" in ...

  • The problem is education and not regulation

    13 Feb 2003

    The February issue of Which? magazine published a half-decent report on the "care home crisis" without mentioning high increases in indemnity insurance premiums directly arising from its pursuit of the compensation culture. It is a grave disservice to consumers to pretend that unlimited compensation claims are unrelated to other areas of consumer interest such as care home closures. The same issue offers a good guide to the small claims court without suggesting that all compensation ...

  • The suite stakes are high

    13 Feb 2003

    The stakeholder providers lobbying for an increased charge cap must really be kicking themselves for the way they responded to the launch of stakeholder pensions in 2001. In those heady days of the bull market, the pitch to the IFA market was that 1 per cent was enough to cover the costs of personalised advice, deliver high-quality investment opt-ions, cover admin expenses and still break even. All that was needed was significant market share, some capital to cover business strain ...

  • The Treatment Centre Company - Enterprise Investment Scheme

    13 Feb 2003

    Thursday, 13 February 2003Aim: Growth by investing in treatment centres for drug and alcohol dependencyMinimum investment: Lump sum £1,400Opening/closing date: February 11, 2003/March 31, 2003 Charges: ImplicitCommission: Initial 3.5%Tel: 020 8681 1919

  • Time to get the transfers

    13 Feb 2003

    As a former tied agent of Canada Life I have many clients who hold policies with Canada Life. In the 10 years since I left Canada Life to become independent, it has frustrated me no end that Canada Life have steadfastly refused to switch these policies into my agency for client servicing and renewals. The reason given was that they where allegedly being serviced by Canada Life's dwindling tied salesforce, which received the renewals, but did little to justify them. The majority ...

  • Treasury rejects IPPR call to axe equity Isas

    13 Feb 2003

    A call by influential thinktank the IPPR for the Government to scrap equity-based Isas has been met with incredulity by the investment industry. The IPPR says equity Isas have missed the Government's target audience and that the £600m which the tax relief costs should be used elsewhere. It says the income profile of Isa savers in 2001 was no different to Pep and Tessa holders in 1997 before Labour came to power. The IPPR questions whether the product has met Labour's ...

  • Treasury sets cautious level for suite risk

    13 Feb 2003

    The Treasury has finally published its consultation paper detailing its vision for the Sandler suite of simple products aimed at those not saving or not saving enough for their retirement. The suite, as expected will consist of an equity-based, with-profits and pensions product although the door has been left open for the inclusion of other products including a generic financial healthcheck. The Treasury has decided the appropriate level of investment risk for the products will ...

  • Trunk call

    13 Feb 2003

    While the response from delegates at last week's Money Marketing Top 100 Conference in Croydon was very positive, for one IFA, it went, well, swimmingly. Syndaxi Financial Planning's Robert Reid was looking to take advantage of the hotel's swimming pool. With characteristic generosity, Rob lent his swimming trunks to fellow IFA Gareth Marr, offering to wear his old pair, only to discover they were a bit loose. Unfortunately, the tie-string on his trunks was knotted and ...

  • Trust firm in warning on FSA exec plans

    13 Feb 2003

    The FSA's proposals to update the corporate governance of investment trusts in the wake of the split-cap debacle will not have the desired effect, warns Trust Associates. The company says the proposals set out in CP164 on listing and conduct of business rules are well intentioned but will be counterproductive as many established practices which have protected shareholders will be banished. Trust Associates believes the proposal to eliminate all investments in funds which invest ...

  • Unum Provident to restructure as Ring is appointed

    13 Feb 2003

    Group protection provider Unum Provident has appointed Susan Ring as managing director and chairman. Ring, formerly operations officer, replaces Lawrence Churchill, who left last November to become chief executive of Zurich FS's UK, Irish and international life businesses. Ring is to restructure Unum Provident by creating three new divisions. The customer service division aims to improve operational efficiency and the use of technology in the sales process. It will be headed ...

  • Warning that PI firms will oppose early split-cap payouts

    13 Feb 2003

    Companies which try to heed FSA calls to pay early compensation to investors in collapsed split-capital investment trusts will face strong opposition from professional indemnity providers, warns law firm Reynolds Porter Chamberlain. The law firm, which specialises in insurance, says PI firms will fight early payout moves as they are under no obligation to cover costs unless companies are legally liable to pay compensation. The news will come as a blow to FSA managing director John ...

  • Watchdog is accused of breaching human rights

    13 Feb 2003

    The Financial Ombudsman Service has been accused of violating an IFA's human rights after refusing to grant an oral hearing over a pension misselling complaint. IFA Dag Isaksen, of defunct firm Crosby Tinklin, says the FOS has effectively denied him his rights under the European Human Rights Act by not allowing him to confront his accuser at an open hearing. Isaksen, who now works for Nottingham IFA Turner Rann, has sought advice from law firm ProAct Legal, which has told him ...

  • Wentworth Rose extends tie-up with Telegraph

    13 Feb 2003

    Wentworth Rose has signed a new contract with the Telegraph Group to extend its Telegraph Retirement Service to Daily and Sunday Telegraph readers until 2006. The extension of the link means the company will continue to advise Telegraph readers on all aspects of regulated retirement investments, including annuities, drawdown, retirement protection, self-invested personal pensions and stakeholder plans. The service was launched in 1999 and is now one of the biggest providers of ...

  • Who's to blame?

    13 Feb 2003

    Those of you who have run the gauntlet of renewing professional indemnity cover will be only too aware that the environment in which IFAs operate has changed dramatically. A report published in December 2002 by the Actuaries working party found that the UK pays out far more in compensation claims than other European countries, running up a bill of around £10bn a year. Although the report did not split out the cost of claims against financial advisers, one can deduce that it formed ...

  • Will new EU stars shine brightly?

    13 Feb 2003

    Ten countries are set to join the European Union next year. Although some are small or have underdeveloped economies, others, such as Poland, Hungary and the Czech Republic, are among the bigger Eastern European nations. While their impending entry has been the subject of much political speculation, the economic issues surrounding their membership have been largely ignored. This is surprising as some Eastern European and emerging markets funds are currently performing and, in some ...

  • Will PI scheme reach a captive audience?

    13 Feb 2003

    Just over a week ago, the FSA proposed the creation of a mutually run and funded scheme to try to help solve the professional indemnity crisis facing many IFAs. This proposal, outlined in the consultation 169: Professional Indemnity Insurance for Personal Investment Firms, has become one of the shortest-lived ever. It is already being effectively ruled out in many quarters, including Aifa and the FSA itself, which says it would not resolve all the issues. In its place is a somewhat ...

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