Money Marketing
2 August 2006

  • Advantage makes it four for Homebuy

    3 Aug 2006

    Advantage has joined the Government's Open Market Homebuy scheme as its fourth lender. The Morgan Stanley-owned firm joins HBOS, Nationwide and Yorkshire Building Society as a partner in the initiative.

  • Pitt joins Kensington to investigate specialist lending opportunities

    3 Aug 2006

    Brian Pitt and Stuart Aitken have joined Kensington Group to investigate key strategic opportunities presented by the specialist lending sector.

  • Promotions 'still not up to scratch'

    3 Aug 2006

    An FSA report says promotions in the general insurance and sub-prime mortgage sectors are still not up to scratch and need to be improved but the number of investment promotions which fell below the regulatory standard has fallen from 52 per cent in 2004 to 32 per cent in 2006. The report evaluated nearly 1,000 financial promotions to assess progress across different sectors.

  • '400% Rise in pension guidance papers'

    3 Aug 2006

    Pensions tax "simplification" has swamped the industry, with a 400 per cent increase in technical guidance and nearly double the number of pages of legislation that existed before A-Day.Standard Life says Revenue & Customs has broken promises to sweep away hundreds of pages of pension legislation and almost 1,000 pages of guidance. It has also failed to live up to its pledge in the 2004 Finance Act which stated that 151 pages of primary legislation, together with an expec-ted 100 ...

  • 97% of investors vote to split Fidelity special sits

    3 Aug 2006

    Fidelity has received resounding backing to split its special situations fund in two.A special meeting saw an unprecedented 88,000 or 36 per cent of unitholders take part in the voting process, with 97 per cent voting in favour of splitting the £6.5n fund in two. One fund will continue with the current mandate and the other will have a new global mandate.Incumbent manager Anthony Bolton will run the UK mandate until the end of 2007 and the new global mandate until the end of ...

  • A new age of provision

    3 Aug 2006

    Later this year, the Government will enact new legislation to end age discrimination in the workplace.

  • A tight spot

    3 Aug 2006

    Following a nasty three-year cyclical bear market, equity markets generally bottomed in March 2003, rallying until May 2006 to then experience their biggest correction for three years. Does this weakness represent the start of something bigger? Are we about to revisit the low end of the range or is this merely a correction within an ongoing cyclical bull?

  • Abbey sets new targets after Resolution deal

    3 Aug 2006

    Abbey is aiming to more than double its share of the investment and pension market in the next 18 months following the sale of its life business.Its push in these areas will see the Spanish-owned bank increasing its team of in-branch advisers from 350 to 750.The move comes after Abbey agreed to sell its life insurance business for 3.6bn in June to closed life fund consolidator Resolution. Under its new plans, Abbey aims to increase annual-premium investment and pension income ...

  • 'A-Day reforms are set to be sliced apart'

    3 Aug 2006

    Tory Shadow Financial Secretary to the Treasury Mark Hoban says the Government will interfere in pensions and "salami-slice" away A-Day reforms.Hoban says in other areas, such as the taxation of small companies, the Government has introduced significant tax concessions, only to remove them piece by piece.Following Treasury Econ-omic Secretary Ed Balls' recent statement on alternatively secured pensions, Hoban says the industry must guard against the Government undoing other ...

  • AMI Euro guide targets brokers

    7 Aug 2006

    The Association of Mortgage Intermediaries has launched its latest factsheet entitled on the impact of European legislation on the UK mortgage market.

  • AMI proposes FOS funding changes

    8 Aug 2006

    The Association of Mortgage Intermediaries has confirmed it is against the current funding model for the Financial Ombudsman Service.

  • Average house price hits 200,000

    8 Aug 2006

    Land Registrys latest residential property price report shows the average house price in England and Wales is 199,184.

  • Axa backs new wealth service with 'rigorous' fund selection

    3 Aug 2006

    Firm targets drawdown after portfolio and Sipp launch

  • Axa Life alters outsourcing deal

    3 Aug 2006

    Axa Life and outsourcing firm Liberata have altered their fixed-term business process outsourcing deal to a longer-term or "evergreen" arrangement.

  • Axa Life alters outsourcing deal

    2 Aug 2006

    Axa Life and outsourcing firm Liberata have altered their fixed-term business process outsourcing deal to a longer-term or "evergreen" arrangement.

  • B&B puts aside 90m for endowments

    3 Aug 2006

    Bradford and Bingley is setting aside 89.4m against compensation claims for mortgage misselling, which is more than double the 38m it put aside in 2005/06.The total amount of compensation paid out by the industry for missold endowment mortgages has rocketed to 2.3bn.The figure, from FSA research covering 90 per cent of the market, has doubled in 18 months although previous research covered only 70 per cent of the market.B&B's compensation figure in its interim results have ...

  • Balancing act

    3 Aug 2006

    Offshore investment For investors seeking more equilibrium in their portfolios amid recent market volatility, Prudential UK international development manager James Tothill suggests some more balanced approaches for advisers to consider

  • Balls urged to axe Asps and end confusion

    3 Aug 2006

    The Government should scrap alternatively secured pensions to halt the confusion surrounding the product according to pensions IFA Richard Jacobs.Jacobs, managing director of Richard Jacobs Pension & Trustee Services, has written to the Treasury Economic Secretary Ed Balls, recommending the Government abolishes Asps and saying unsecured pensions are sufficient to cover every situation for retirees at age 75.He says assets in USp at death are currently taxed at 35 per ...

  • Bartley joins L&G for fixed income

    2 Aug 2006

    Rogert Bartley is moving to Legal & General Investment Management as global head of fixed income from Gartmore where he was chief investment officer of fixed income.

  • Bartley joins L&G for fixed income

    3 Aug 2006

    Roger Bartley is moving to Legal & General Investment Management as global head of fixed income from Gartmore where he was chief investment officer of fixed income.

  • Bee says advisers can help the industry ride out 'perfect pension storm'

    3 Aug 2006

    Scottish Life head of pensions strategy Steve Bee says the life and pension industry faces its biggest shake-up in recent times and is heading towards "a perfect storm".He says the A-Day changes will pale in comparison with the upheaval yet to be felt by the industry, with age discrimination rules and the Government White Paper proposals on the horizon but this confusion will increase the need for advice.He says: "We are heading towards a perfect storm. The new environment is ...

  • Big leap in lending as HBOS share rises

    3 Aug 2006

    HBOS has seen a dramatic rise in mortgage lending over the first six months of this year.Brokers believe the UK's biggest lender is unlikely to be hit by the emergence of new players in the market because of its vast size and reputation.HBOS reported an increase in gross lending to 35.2bn from 27.6bn over the same period last year, representing a gross market share of 22 per cent, up from 21 per cent last year. The company's net lending market share leapt to 21 per cent from ...

  • Border lines

    3 Aug 2006

    Sitting in a television studio the other week, I was asked to comment on the latest cross-border acquisition by a continental company of a British concern. In this case, the acquirer was Spanish - again.

  • British Insurance sets up IP and PPI hybrid

    3 Aug 2006

    British Insurance is offering a new type of income protection product which is a hybrid of IP and payment protection insurance and charges a flat rate premium for every customer.

  • Broker talkback

    3 Aug 2006

    If providers paid indemnity commission on investment funds - like Norwich Union is introducing - would you write more investment business?

  • Cazalet slams NU over 20% commission deal

    3 Aug 2006

    Cazalet Consulting principal Ned Cazalet has attacked Norwich Union's decision to offer up-front indemnity commission on its retail funds, saying IFAs accepting this payment will struggle to continue calling themselves independent.

  • Centre of excellence for equity release

    3 Aug 2006

    The Equity Release Advisory Service has set up a centre of excellence for advisers, called Equity Advice to help train advisers.

  • Centre of excellence for equity release

    2 Aug 2006

    The Equity Release Advisory Service has set up a centre of excellence for advisers called Equity Advice to help train advisers.

  • Chasing the claim cowboys

    3 Aug 2006

    The plans for the regulation of claim management firms are better than nothing but leave a lot to be desired.

  • Chelverton plans Oeic version of small companies trust

    3 Aug 2006

    Chelverton Asset Management is set to introduce an version of its 57m small companies dividend investment trust this autumn.Fund manager David Taylor and David Horner and will mirror the investment trust portfolio by targeting small and mid-cap stocks that yield at least 4 per cent annually.The fund will predominantly invest in small and mid caps, including Aimlisted companies, but will also have around 10 per cent exposure to FTSE100 stocks to provide liquidity.The Oeic ...

  • Commission commotion

    3 Aug 2006

    Matt Goodburn looks at the reaction to NU's 20% indemnity commission offer

  • Control engineering

    3 Aug 2006

    North was launched a year ago in response to what appeared to be a growing need among intermediaries and small asset management companies within the UK. That need revolved around the outsourcing of the investment management function of their businesses. As director of multi-manager investment at a big UK retail asset management company, this was an arena in which I plied my trade. However, for the bigger intermediary firms, it appeared that the multi-manager approach just was not flexible ...

  • Correspondent's week

    3 Aug 2006

    Top tip: Never, ever think that you can move house on Monday and get a full week's work done while simultaneously dealing with builders, plumbers, electricians and Lambeth Council.

  • Coulson accuses networks of locking in members

    3 Aug 2006

    Home of Choice chief executive Richard Coulson claims rivals are blocking brokers from joining his network.Coulson, whose network has completed its first year since his acrimonious split from Zurich's mortgage arm in 2005, accuses a number of networks of increasing lock-in periods to stop their members moving.He says: "There are 320 individual brokers awaiting transfer to us but many of their networks are changing notice periods and locking these guys in for six months."You ...

  • Coventry sets ERC example

    3 Aug 2006

    Coventry Building Society says it expects other lenders to follow its example of axing early repayment charges from its sub-prime range.It has set up a suite of near-prime, light-adverse and extra-light adverse deals without an ERC, claiming to be the only top 20 lender to make the move.Head of intermediary sales Julie Jones says: "I am sure other lenders might follow. We want to be a little bit different and more transparent."Head of sales Colin Franklin says: "If a client ...

  • Critics round on the regulator

    3 Aug 2006

    Guy Anker says the FSA is coming under increasing accusations of unsettling the industry and encouraging complaints from borrowers

  • Defence union takes step forward in FOS challenge

    3 Aug 2006

    The IFA Defence Union claims it has moved a step closer to securing a legal challenge against the Financial Ombudsman Service for breaching the Humans Rights Act after getting a solicitor's backing.The IFADU has received written opinion from solicitor Clarke Wilmott that it has a fair chance of securing a judicial review based on one of five cases where IFA firms were found guilty of endowment misselling.Clarke Wilmott agrees with the IFADU's contention that the removal of the ...

  • DTI will scrap audits for smaller companies

    3 Aug 2006

    The Department of Trade and Industry is set to abolish audit requirements for regulated small firms and appointed representatives.The FSA says the move will save 3,200 small firms and 1,490 ARs £12.9m a year. The DTI will introduce regulations under the Companies Act 1985 to implement the FSA's proposal as soon as possible. The aim is that these will apply to financial years ending on or after December 31 this year.The FSA says consumer protection will not be affected as most ...

  • Duplicate keys

    3 Aug 2006

    Rooftop Mortgages managing director Jonathan Naylor says the Government still aims to bring in home condition reports at some point despite its U-turn and the problem of Hip double costs remains while the real priority should be regulating estate agents

  • Early to bed...

    3 Aug 2006

    Reports reach the Diary that a certain downmarket rival publication has forgotten how to have fun.According to sources in attendance, a recent leaving-do bash for a member of the newsdesk ended around 11pm after members of the team decided they could not handle their "bellyfuls of beer" and opted for a quiet night tucked up in front of Newsnight.The Diary understands that trailing such top-class competition, they might feel that they need to get all the sleep they can but, girls ...

  • Equity release initiative to challenge Key

    2 Aug 2006

    Equity Advice has cautiously welcomed todays announcement by Key Retirement Solutions that they are to launch Lifetime Advisory Services.

  • F&C says volatility will boost hedge funds

    3 Aug 2006

    F&C is expecting funds of hedge funds to outperform traditional multi-manager as it believes they should be able to benefit from recent higher levels of volatility in equity markets.The company says hedge funds offer the best risk and reward profile during times of high volatility. Over the last three years, volatility has been relatively low but F&C believes that this is unsustainable.According to F&C's alternative investment division, the risk of losing money is lower with ...

  • Fairhead takes global role at HSBC

    3 Aug 2006

    Adam Fairhead has become global head of product development at HSBC Investments.

  • Fear of rule breaches on unsecured pension transfers

    3 Aug 2006

    Several leading pension providers could face a Revenue probe after it emerged that some firms appear to be breaching the rules on unsecured pension transfers.

  • First time buyers borrowing record sums, reveals CML

    8 Aug 2006

    The average first-time buyer paid a record 3.21 times their income to get a mortgage, according to data from the Council of Mortgage Lenders.

  • FOS seeks role with chasers

    3 Aug 2006

    The Financial Ombudsman Service has put itself forward to handle complaints againstclaim management companies and solicitors.It tabled a proposal to the Government following the publication in May of the Legal Services Bill, which will create a new regulator for the legal profession, the Legal Services Board, and a complaint-handling body, the Office of Legal Complaints.Regulation of the claim management sector will start in October after the Compensation Bill was passed last ...

  • Friend Provident reports overall growth but F&C shows slight fall

    8 Aug 2006

    Friends Provident’s total life and pensions sales have risen by 39 per cent in the first half of 2006 compared with the same period last year.

  • Get off to an early start to beat the inheritance tax trap

    3 Aug 2006

    Families are being warned to begin estate planning earlier after this year's Budget restricted to the nil-rate band the amount that can be gifted into a trust free of inheritance tax.Fund manager Way Group says thousands of families risk falling into the IHT trap by starting estate planning too late in life.Its research shows that men typically begin planning at 69 and women at 72.Chairman Paul Wilcox says the Budget changes, which effectively restrict tax-free gifts into ...

  • Get round the table

    3 Aug 2006

    A week with the world's finest advisers is an inspirational experience

  • Government clinging to the notion of stakeholder success

    3 Aug 2006

    The Government is still clinging to its view that stakeholder pensions have been a success despite criticism of the regime from MPs, trade bodies and the FSA.Responding to a Treasury select committee report on NPSS regulation, the Government says stakeholder pensions have been a success in reaching their target audience. It says over 2.7 million stakeholder pensions were bought between April 2001 and December 2005 and take-up has been high by the target group of moderate earners.The ...

  • GPs to sharpen-up reports as BMA agrees 5-year deal with ABI

    2 Aug 2006

    A five-year deal has been agreed between the ABI and the British Medical Association over the quality of medical reports prepared by GPs for their patients and fees paid by insurers.

  • Halifax reports slight house price rise

    3 Aug 2006

    House prices increased by 0.2 per cent in July following successive declines in May and June.

  • Hamptons bought by Dubai firm

    3 Aug 2006

    Hamptons International has been sold to Dubai-based Emaar Properties for 82m. Hamptons, whose brand name will be unaffected, was previously owned by Singapore-listed Wheelock Properties.

  • Henderson to increase secured debt in portfolio

    3 Aug 2006

    Henderson's multi-manager team is looking to add another secured loans fund to its recently renamed independent income & growth portfolio.Secured loans are senior debt that has a priority claim over the assets of a business if the issuer defaults.They are floating-rate securities which means they are less exposed to changes in interest rates compared with conventional bonds.The independent income & growth portfolio already holds the Henderson secured loans fund but the management ...

  • Holly Mackay to leave Allfunds

    8 Aug 2006

    Allfunds Bank UK director Holly Mackay is leaving the business to pursue other opportunities. Mckay says she intends to stay in the industry and is in discussions with several firms. Allfunds says it will be making a new director-level appointment in due course. Mackay says:"Having now achieved all of our initial targets and goals for establishment of the UK business, I wish the team at Allfunds well as they continue to expand into this exciting market."

  • Home from home

    3 Aug 2006

    Our panel of experts discuss mortgage and tax issues for borrowers to consider when buying a property abroad

  • Hutton dressed as lamb

    3 Aug 2006

    By the time you read this column, the public administration select committee will have published its report into the Government's refusal to offer proper compensation to125,000 people who have lost most of their pensions following the wind-up of their occupational schemes.

  • IFAs facing action after mystery shop

    3 Aug 2006

    The FSA is already taking action against rogue IFAs uncovered in its latest mystery-shopping exercise, says leader of the retail intermediaries sector Stephen Bland.The study, which visited a wide range of IFAs, found that almost all firms claimed to offer full advice but only a third undertook a full review of customers' needs and objectives.The FSA has revealed plans to take robust action from next March against firms which fail to embed its treating customers fairly principles ...

  • IFS gets a rebrand

    4 Aug 2006

    The Institute of Financial Services has been rebranded as the ifs School of Finance.The institute says it has chosen the new name as it is more representative of its work developing financial education provision for both the industry and consumers.It says the rebrand is part of its ambition to gain degree-awarding powers in the future.Chief executive Gavin Shreeve says: This is an exciting milestone in the ongoing development of the ifs as a fully fledged educational body dedicated ...

  • IHT is "ticking timebomb", says Grant Thornton

    2 Aug 2006

    The latest figures from HM Revenue & Customs reveal that inheritance tax receipts have leapt by 42 per cent over the last three years, according to business and financial advisers Grant Thornton.

  • In, out, shake it all about

    3 Aug 2006

    I have received a communication from my pension provider suggesting I contract back into the state second pension. What should I do?

  • Intellectual pursuit of tax avoidance

    3 Aug 2006

    On reading the Opinion column in the July 20 edition of Money Marketing, I really could not resist responding - if only for the sake of my blood pressure. I don't know whether your usual acuity was abandoned in favour of political correctness or if you had a sudden attack of naivety. Of course, Governments do not like IFAs, particularly those Governments which are, like this one, control freaks. Your point about distribution is valid but it goes further. It is the nature of an ...

  • Interest rate rise should act as catalyst for saving

    8 Aug 2006

    The decision by the Monetary Policy Commitee to increase interest rates by a quarter per cent should act as a wake up call for the UK consumer so start saving and consult their adviser, says IFA Promotions.

  • Into the unknown on interest rate assumptions

    3 Aug 2006

    I read with interest, as I usually do, the article by Keith Popplewell in last week's issue of MM. I concur with the overall message but I would take issue with some of the comments he draws. I suspect that we would both question the assumptions of a central SMPI growth rate of 7 per cent in conjunction with an assumed rate of inflation of 2.5 per cent but the FSA no longer makes any recommendation as to the assumed rate of inflation at either the upper or lower points. In itself, ...

  • Jupiter boosts fund commission

    2 Aug 2006

    Jupiter is offering brokers enhanced commission of 4.25 per cent on 12 of its most popular funds until October 31.

  • Jupiter boosts fund commission

    3 Aug 2006

    Jupiter is offering brokers enhanced commission of 4.25 per cent on 12 of its most popular funds until October 31.

  • Key launch aims to entice advisers to market

    2 Aug 2006

    An industry-backed scheme to help advisers join the equity release market has been launched by Key Retirement Solutions.

  • Key unlocks equity release expertise

    3 Aug 2006

    An industry-backed scheme to help advisers access equity release has been set up by Key Retirement Solutions.Lifetime Advisory Services will launch in September and has been hailed by Key as pivotal to improving advisers' expertise on equity release, after the FSA last month highlighted the problem of dabblers in the market who do not have adequate systems and controls in place.LAS will provide training for individual advisers and give subscribers access to its fact-finding ...

  • Lawrence House Fof makes sector switch

    3 Aug 2006

    Lawrence House Fund Managers' UK equity income fund of funds has been switched to the Investment Management Association's UK equity income sector from the UK all companies sector.The firm says the fund was placed in the wrong sector by mistake following its launch. It invests in UK equity income funds to create a best-of-breed portfolio.Lawrence House says it always intended to generate a higher level of income through equity income funds, reflecting its positive views of the ...

  • Lenders under fire for hiding failings by manipulating FSA

    3 Aug 2006

    Which? says lenders have misled public after document reveals how CML influenced regulator's findings

  • Lincoln places Financial Foundations on Webline

    4 Aug 2006

    Lincoln Financial Group has announced that the life and income protection parts of Financial Foundations are now available on Webline.

  • Little Britain

    3 Aug 2006

    UK smaller companies funds suffered badly during May, being down by 6.6 per cent on average, but there are still great opportunities in this sector where growth investing is back in vogue and where continued strong economics and a general rerating of growth companies are likely.

  • Lump light

    3 Aug 2006

    But the report, which is the committee's response to the Government White Paper on pension proposals, has caused outrage by recommending a review of the tax-free lump sum, which many see as one of the key reasons why people save in pensions. It also recommends a review of higher-rate tax relief.

  • Mackay quits Skandia to join Barclays

    3 Aug 2006

    Skandia is losing another high-profile figure as pension marketing manager Billy Mackay heads for Barclays Wealth Management.Group investment director Jim Roberts has also announced he is leaving the group.Mackay leaves after nine years at Skandia to join Barclays as head of pensions. Barclays also appointed National Association of Pension Funds chief executive Christine Farnish as public policy director last week.He says: "I have worked with a great team here at Skandia ...

  • Merrill extends UK reach with Freedom deal

    3 Aug 2006

    Merrill Lynch has bought Freedom Lending in its latest push into the mortgage market.Freedom will continue to operate as a specialist lender in the buy-to-let, let-to-buy and self-certification markets. It will sit alongside Mortgages PLC, which Merrill also owns, and will unveil a new trading name before the end of the year.Merrill is also believed to have provided part of the funding structure for the Oakwood group's new lender, Edeus.It is the latest in a long line of ...

  • Mifid prompts fears of inappropriate advice

    3 Aug 2006

    The markets in financial instruments directive could prevent IFAs from giving the best advice to clients and outlaw any exposure of low-risk clients to high-risk investments, say lawyers.Eversheds partner Matthew Allen says advice could be deemed inappropriate under Mifid, even if the firm has fulfilled all suitability and know your customer requirements and discussed the investment fully with their client.Although EU rules are yet to be confirmed, Allen says there is confusion ...

  • MLIM appoints Melvin for strategy and business development role

    8 Aug 2006

    Merrill Lynch Investment Managers has appointed Sarah Melvin as director of strategy and business development for Europe, Middle East and Africa (EMEA).

  • Morse takes multi role for Fidelity

    3 Aug 2006

    Phil Morse is leaving Gartmore to join Fidelity as business development director for its multi-manager team.

  • Morse takes multi role for Fidelity

    2 Aug 2006

    Phil Morse is leaving Gartmore to join Fidelity as business development director for its multi-manager team.

  • MPC raises interest rates

    3 Aug 2006

    The Bank of England's Monetary Policy Committee today voted to raise the base rate by 0.25 percentage points to 4.75 per cent.

  • MPs back watchdog verdict on pensions

    3 Aug 2006

    Select committee chairman says Government is being 'at best naive and at worst misleading'

  • Nils Taube retires after 60 years

    2 Aug 2006

    Veteran fund manager Nils Taube is retiring after 60 years in the industry. Taube is at Taube Hodson Stonex Partners where he runs retail funds for GAM and St James's Place, including 588m Greater European Progressive fund which he launched in 1969 and still runs for SJP.

  • Nils Taube retires after 60 years

    3 Aug 2006

    Veteran fund manager Nils Taube is retiring after 60 years in the industry. Taube is at Taube Hodson Stonex Partners where he runs retail funds for Gam and St James's Place, including the 588m Greater European Progressive fund which he launched in 1969 and still runs for SJP.

  • 'NPSS is a Trojan horse for nationalised advice'

    3 Aug 2006

    The Government is trying to nationalise advice through the back door, according to a senior Sesame director.Communications director Ian Thomas says the Government's desire to drive through its personal accounts regime threatens to banish regulated advice to the sidelines.He believes this is part of a strategy to wrest control of long-term personal savings from the private sector's hands.Thomas says the personal accounts regime combined with its scrutiny of adviser remuneration ...

  • Number of estates paying IHT jumps 72 per cent over 5 years

    7 Aug 2006

    The total number of estates paying inheritance tax rose by seventy two per cent over the five years to 2003/04 to 30,451 according to Halifax research, based on recently released data from HM Revenue & Customs.

  • OFT upholds Aifa’s Menu complaint

    7 Aug 2006

    The Office of Fair Trading has upheld Aifa’s complaint that market average commission rates included in the menu are wrong but says it will not be taking action against the FSA.Aifa complained to the OFT in April 2005, arguing market average commission rates included in the menu were having an anti-competitive effect on the market averages for independent advice as they were skewed by including both advised and non-advised business.The OFT says it put Aifa’s concerns to the FSA ...

  • Origo axes personal liability in contracts

    3 Aug 2006

    Origo has removed the per-sonal liability that each adv-iser bears under its Unipass digital certificate contracts following user concerns.Origo managing director Paul Pettitt says the move was made after feedback from users, notably Sesame, unhappy about a clause in the contract suggesting personal adviser liabilities of up to 15,000.Pettitt says Origo has been planning the move for some time but had to wait for procedural and data issues to be tidied up.In the past, Pettitt ...

  • Out of context

    3 Aug 2006

    "Nudist beaches are very good places for maintaining eye contact."IFG's Donna Bradshaw

  • Overhaul is an admission of FAS shambles, says Altmann

    3 Aug 2006

    The Government's plans to overhaul the structure of the Financial Assistance Scheme are an admission that it is a shambles, says independent pension consultant Dr Ros Altmann.In draft proposals, the Government has unveiled plans to broaden the FAS's remit and outsource its running to the private sector.To date, only 171 pensions schemes have asked for initial payments and just 52 schemes have been assessed. Only 191 members are getting payments from the FAS. Eligibility criteria ...

  • Packing it in

    3 Aug 2006

    Shambles is the word that springs to mind when describing the government's U-turn on home information packs.The sudden decision not to make home condition reports mandatory when the packs are introduced next June, even though they were supposed to be the main component, was greeted by astonishment.

  • Paternoster in deal with support firm

    2 Aug 2006

    Paternoster, the closed life fund consolidator run by Mark Wood, has signed a letter of intent for Jardine Lloyd Thompson Benefit Solutions to act as its service partner for the long-term administration of pension policies and actuarial pricing support.

  • Paternoster in deal with support firm

    3 Aug 2006

    Paternoster, the closed life fund consolidator run by Mark Wood, has signed a letter of intent for Jardine Lloyd Thompson Benefit Solutions to act as its service partner for the long-term administration of pension policies and actuarial pricing support.

  • Pos Sol announces 70 per cent increase in profit

    8 Aug 2006

    Positive Solutions has announced a 70 per cent increase in operating profit, from 3.6m to 6.1m, for the six months to 30 June 2006.The firm says it is on track for turnover to exceed 100m this year for the first time after turnover reached 48m for the first six moths of the year.Pos Sol announced it now has 1430 partners, up 300 from the start of the year.It says it is on the look out for future acquisitions as well as seeking organic growth.Pos Sol chief executive Neil ...

  • Prepopulation explosion

    3 Aug 2006

    One of the golden rules of e-commerce is that you have to make it easy to use for the customer. Businesses such as Amazon have thrived because they are so easy to use.

  • Proc and a hard place

    3 Aug 2006

    The idea of lenders paying procuration fees on retained business was aired in public at the mortgage summit in Spain in June. Needless to say, the response from intermediaries was largely one of jubilation and I hardly thought it apt to disturb the euphoria at such an event, where brains were focused on driving business forward.

  • Product matters

    3 Aug 2006

    We are seeing an abundance of structured contracts, which is no surprise, given the uncertainty of markets and a rising interest rate environment.I firmly believe these arrangements are not investments but simply products for the customer who does not understand risk. Despite the fact that the UK investor loses out on the advantage of dividends, there are a range of other reasons to be wary of them.Advisers should note that participation in the market upside should be higher ...

  • Professional touch

    3 Aug 2006

    The biggest single issue facing financial advisers is improvement of reputation. Just about every subject which generates furious debate in the sector comes down to the perception either that the adviser is not respected or that derogatory comment is going unchallenged.A major subset of the reputation issue is the desire for perceived professional standing, with all the trappings that a professional would have, including a professional body.Of course, a professional body in this ...

  • Promotions still not up to scratch

    2 Aug 2006

    An FSA report says promotions in the general insurance and sub-prime mortgage sectors are still not up to scratch and need to be improved but the number of investment promotions which fell below the regulatory standard has fallen from 52 per cent in 2004 to 32 per cent in 2006. The report evaluated nearly 1,000 financial promotions to assess progress across different sectors.

  • 'Providers are in A-Day meltdown'

    3 Aug 2006

    The industry is in the throes of a post-A-Day systems' meltdown as providers struggle to deal with new pension business, according to IFA Richard Jacobs.Jacobs, managing director of Jacobs Pensions and Trustee Services, says even straightforward pension requests are causing problems for the biggest insurance companies.

  • RBS snubs brokers in shock move

    4 Aug 2006

    Royal Bank of Scotland has admitted its intermediary mortgage business comes second to branch-based sales.

  • Reasons to be fearful

    3 Aug 2006

    I would not seek to take issue with any of the technical aspects of Keith Popplewell's article on the vagaries of retirement income funding but what it does highlight is all the reasons why the public are so deterred from putting money into a personal pension. Faced with such a near-infinite combination of factors, most ordinary people will throw up their hands and declare the exercise to be such an unfathomable tangle of possibilities that they would prefer almost any alternative ...

  • Religious disorder

    3 Aug 2006

    Until recently I had been intrigued by these Alpha Course bumper stickers. It was only when I spotted a similar poster outside a church that I made the connection.

  • Right on cue

    3 Aug 2006

    Snooker star Steve Davis (left) was among the celebrities at the em-invitational golf tournament held in association with GMAC-RFC.The event raised a record-breaking 30,000 for the charities Cancer Research UK, Treloar's, MND Association and Habitat for Humanity.

  • Rise in equity release cases but value of lending remains flat

    3 Aug 2006

    Safe Home Income Plans has revealed a small drop in the total value of new equity-release business written in the second quarter of 2006.Total business stood at 262.8m, a drop of 5.8 per cent on Q1 but 0.75 per cent higher than Q2 2005.Many commentators believe the industry has not grown as quickly as hoped because of a shortage of advisers.However, Ship says the number of new cases has risen by 12 per cent year on year to 6,417 from 5,745 in Q2 2005.It says this is ...

  • Royal London new business growth continues

    7 Aug 2006

    Royal London's new life and pensions business increased by 15 per cent in the first half of 2006.

  • Selective blindness on rate relief

    3 Aug 2006

    Politicians who call for the axing of higher-rate relief on pension contributions always fail to see the elephant in the room (July 13 article in Money Marketing. The best-pensioned sector of the population is that which enjoys the defined benefits of good employer-subsidised DB schemes. The massive contributions and top-up subsidies that are paid into these schemes by private sector employers and state sector organisations completely bypass the income tax and National Insurance collection ...

  • Sesame sees 1.9m loss as endowment provisions escalate

    3 Aug 2006

    16% increase in revenues attributed to strong take-up of mortgage offering

  • Seven funds halfway to 1bn

    3 Aug 2006

    Seven Investment Management has passed the half- a-billion-pound milestone across its multi-manager fund range.Since Seven launched its multi-manager Oeic 30 months ago, three of its original funds - moderately cautious, balanced and moderately adventurous - now have more than 100m in assets apiece.The portfolios are overseen by chief investment officer Ros Price and invest in commodities, international property and infrastructure, currency, private equity and hedge funds as ...

  • Special effects

    3 Aug 2006

    What hope is there for the public to find an equity-release specialist?

  • Standard complains over loophole that it revealed

    3 Aug 2006

    Standard Life is accusing Axa of abusing a loophole in small self-administered scheme rules that is set to be closed and has lodged an official complaint with the Revenue.It claims Axa is using the loophole to market its SSAS. It enables small businesses to pass on pension assets tax-free and could, in theory, be used by family members to bypass inheritance tax.Standard also accuses Axa of telling customers that the Revenue has given the go-ahead for this.Ironically, it ...

  • Standard sales soar

    3 Aug 2006

    Standard Life's UK life and pension business rose by 25 per cent in the first half of the year in its first set of results since flotation last month.UK life and pension sales rose to 594m on an APE basis compared with 475m in the same period last year, largely driven by strong increases in single-premium business.Sipp sales were up by 75 per cent to 105m compared with 60m. Group pension business fell by 2 per cent to 228m from 233m but Standard's group Sipp, launched last November, ...

  • Straight from HMRC's mouth

    3 Aug 2006

    Debate on the new trust alignment rules has been pretty much constant (among interested parties, of course) since the Budget day announcement. Much of the debate has been on the application of the discretionary trust regime to structures, particularly flexible and interest in possession trusts, that were taxed very differently before these new provisions were introduced.

  • Sub-prime will spark a big repo rise, says CML

    3 Aug 2006

    The Council of Mortgage Lenders believes the boom in specialist mortgages will see repossessions soaring by 46 per cent this year but admits it does not have credible data.Internal documents circulated at the CML show it is concerned it does not have the necessary data on the sub-prime and non-conforming parts of the market, including self-cert mortgages, to be taken seriously as an informed commentator.It is forecasting the dramatic rise in repossessions because lenders in ...

  • Sweet surrender

    3 Aug 2006

    Transfers from defined-benefit schemes to some form of money purchase have generally been in the doldrums in recent years. This is probably for a variety of reasons. Advisers must be specially qualified to operate in this market, there is a lot of nervousness about possible misselling and the transfer values being quoted have often required high critical yields in the transfer value analysis system.

  • Taking account of trust returns

    3 Aug 2006

    Now that the Finance Act has been published, advisers can take the time to understand the changes to the inheritance tax treatment of trusts, knowing there are unlikely to be any more amendments, at least in the short term.

  • Tenet chairman joins CII board

    7 Aug 2006

    The Tenet Group chairman Barry Kayes has joined the Chartered Insurance Institute’s Faculty of Life and Pensions advisory board.

  • The life aquatic

    3 Aug 2006

    Those enterprising bunch at the Milton Keynes Lifesearch office managed to beat the heatwave by buying a children's inflatable paddling pool to splash about in.Staff were sent home due to the broken air conditioning but had to stay on call so the only option was a quick trip to Argos to buy the pool and some arm bands. As we went to press, no photos of a bunch of middle-aged protection advisers prancing around the local park in Speedos were available but rest assured we are on the ...

  • The MM Profile: Martin Bamford

    3 Aug 2006

    Martin Bamford is the son and the employee one of the most respected independent financial advisers - Nick Bamford.

  • The star comes out

    3 Aug 2006

    The Diary was quietly pondering the secrets behind Winterthur Life director David Thompson's witty speech at the firm's recent wine tasting night when the answer was literally thrust into our hands.After politely enquiring as to the origins of Thompson's endearing if slightly sexist "men are like fine wine, women are like fine wine" joke, Thompson offered a print-out of the gag complete with the web address from where it came. The answer is the personal website of bearded, bespectacled ...

  • The tides of investment

    3 Aug 2006

    There are some key places around the globe where you can get a better perspective on the world economy.

  • Theory of national selection

    3 Aug 2006

    I make no apologies for returning to M&G after just a couple of weeks but this time I thought I would look at one of its UK funds, M&G UK select, which has been run by Mike Felton since January 2005.Before I even entered the industry, I can remember the M&G adverts on the Underground showing the spectacular performance of its recovery fund. When I started in financial services over 22 years ago, it was virtually inconceivable not to use an M&G fund. However, somewhere in the 1990s ...

  • This week in Mortgages

    4 Aug 2006

    The Council of Mortgage Lender’s credibility as a trade body took a major blow this week after its sensational admission that it is not an informed commentator on the sub-prime and non-conforming market.

  • This week in Pensions

    2 Aug 2006

    This week's pensions web-log sees controversy rage around loopholes and the like with Standard Life questioning whether Axas latest Sass offering will get pastthe Revenue.

  • This week in Regulation

    5 Aug 2006

    Although the two free case rule protects the vast majority of advisers from ever having to pay a case fee to the FOS, the mere prospect of paying to prove their innocence has always stuck in advisers' throats.

  • Tiner expected to renew FSA contract

    2 Aug 2006

    FSA chief executive John Tiner's three-year contract runs out next month but he is expected to stay for a second three-year term. All directors of the FSA are appointed on three-year contracts except the chairman Callum McCarthy whose term is five years.

  • Tiner expected to renew FSA contract

    3 Aug 2006

    FSA chief executive John Tiner's three-year contract runs out next month but he is expected to stay for a second three-year term. All directors of the FSA are appointed on three-year contracts except for chairman Callum McCarthy, whose term is five years.

  • TPR still owed £54m in levies

    3 Aug 2006

    The Pensions Regulator coll-ected only two-thirds of levies in the last tax year.Its business plan for the next year shows that 29 per cent of firms did not pay their levies, amounting to £54m last year, and they will be chased up this year.A spokesman says: "We had collected over 71 per cent of levies due during 2005/06 by March 31, 2006, leaving £54m to be collected in 2006/07."There are many different reasons why firms did not meet the date. For some, it has to do with ...

  • Trust treatment

    3 Aug 2006

     The passing of the Finance Act on July 19 has created greater certainty for IFAs and their clients about the treatment of trusts under the new inheritance tax regime which has led to offshore insurers withdrawing, launching and relaunching trusts.

  • Turner to be MD at Countrywide

    3 Aug 2006

    Former HBOS head of intermediary business Grenville Turner is take over as managing director of estate agency Countrywide in January. He replaces Harry Hill, who becomes chairman when Chris-topher Sporborg retires at the end of the year.

  • Turner to be MD at Countrywide

    2 Aug 2006

    Former HBOS head of intermediary business Grenville Turner is to take over as managing director of estate agency Countrywide in January. He replaces Harry Hill who becomes chairman when Christopher Sporborg retires at the end of the year.

  • Unappetising spread

    3 Aug 2006

    Reducing or spreading commission would mean less protection plans sold

  • Watchdog slams DWP's inadequate consumer information

    3 Aug 2006

    The Department for Work and Pensions has been criticised for failing to make adequate information available to pensioners and disabled people.The National Audit Office and work and pensions select committee say they found the DWP's pension information leaflets for these two groups very difficult to obtain.Their findings cast doubts over the Government's ability to provide consumer information on pensions. This comes as the Government insists it would rely on leaflets to communicate ...

  • Weed them and reap

    3 Aug 2006

    The FSA's second review of the equity-release market saw the unprecedented move by the regulator of asking advisers who only write a small amount of equity-release business to stop and refer them on to specialist firms.

  • White knights of equity income

    3 Aug 2006

    Neil Woodford's 5.7bn Invesco Perpetual high-income fund has regained its position at the top of Principal Investment Management's "white list" of UK equity income funds.The Invesco Perpetual fund pushed Rathbone income, managed by Carl Stick, down into second place following Principal's half-yearly update of its white list published last week.Jupiter income fund is third in the table, with another of Woodford's portfolios, Invesco Perpetual income, in fourth place.All four ...

  • Woolwich launch aims to beat rate rises

    8 Aug 2006

    Woolwich will launch a 10-year fixed rate mortgage this Thursday which it claims leads the market at 4.98 per cent.

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