25 March 2009
Eighty five per cent of advisers are looking to increase their percentage of recurring revenue during 2009, according to research by Skandia.
Alliance & LeicesterTwo Year Tracker
It has not gone unnoticed that active management has struggled in recent years - the Investment Management Association UK all companies sector has, for example, underperformed the FTSE All Share by 3.46 per cent in 2007 and 2.29 per cent in 2008 compared with a 10-year annualised return that has been pretty much in line with the market.
Aegon Scottish Equitable paid 91 per cent of critical illness claims in 2008.
Aegon Scottish Equitable is the latest variable annuity provider to increase prices after recent market volatility has seen the cost of guarantees soar.
Alliance & LeicesterTwo Year Base Rate Tracker
The Audit Commission has accused seven English councils of “negligence” for putting money into Icelandic banks, despite having a £10m deposit itself at the time of the collapse.
Axa PPP Healthcare is calling for an initial one week assessment of employees off work sick to determine whether intervention from the employer is required.
Bradford & Bingley has revealed mortgage write-offs of more than £500m in 2008 and predicts more to come over the coming year.
Helen Monks Takhar sets out some survival plans for smaller mortgage intermediaries
Bank of Scotland, part of the Lloyds Banking Group, has taken a 20 per cent stake in Midas Capital, after its debts to the bank reached £36.5m.
The Bank of England has revealed February monthly mortgage approvals were up nearly 20 per cent on January’s figures.
Bankhall has abandoned its search for a new chief executive to replace Peter Mann who left the firm to join Skandia last October.
The FTSE 100 has closed 3.49 per cent lower at 3,763 with Barclays leading the heavy fallers.
Barclays Global InvestorsiShares Citigroup Global Government Bond
Barclays Global InvestorsiShares Barclays Euro Treasury Bond 0-1
Barclays has entered into exclusive talks with private equity firm CVC Capital Partners over the sale of its iShares operation.
Barclays has revealed that it will not be asking the Government for aid in the form of its Asset Protection Scheme.
Barclays has launched a new issue of its target growth plan which features a capital at risk barrier observed at maturity rather than during the investment term.
Two events stick in my mind from last week and reaffirm my growing conviction that the real risk for investors now is being out of the market, rather than in.
Bond funds saw inflows of £1.1bn in February, with corporate bonds the sector of choice for the fourth consecutive month according to the latest statistics from the Investment Management Association.
Bright Grey has enhanced its business protection menu to cover up to four key people for 100 per cent of the business loan.
Association of Independent Financial Advisers director general Chris Cummings is to join a special advisory group to the Treasury looking at the future of retail financial services.
The CII Group has reported a 7 per cent growth in revenue in 2008 to £30.3m, up from £28.4m in 2007, and a rise in net profit to £1.9m from £1.0m.
GartmoreEuropean Absolute Return Fund
Lord Myners has refuted claims that he misled MPs over the former RBS chief executive Sir Fred Goodwin’s pension scandal.
The FSA's position on adviser charging is clear. It wants to see commission banned in its current form by the end of 2012. Dan Waters' speech on January 16 at the Association of British Insurers' conference is particularly illuminating.
As income on bank savings collapses, the prospects of corporate bond yields look increasingly attractive
Providers have been promoting their critical illness claims statistics, with Aegon paying 91 per cent, Norwich Union paying 90 per cent and Scottish Provident paying 86.7 per cent of CI claims in 2008.
The managing director of Living Time says the company wants to reinvent the retirement market by moving away from the lifetime annuity and offering a much more modern approach.
The equity income area of the market is drawing investor interest but questions remain over just how much dividends can prop up total returns and whether the payouts from UK companies can be sustained in a worsening economic environment.
Equitable Life has decided that a sale of the business would not improve prospects for policyholders and will instead continue to run-off the business under existing management.
Towards the end of the 1990s, if - and, more often than not, when - a taxi driver asked me what I did for a living, I would answer that I was a financial journalist. "Oh yeah?" the taxi driver would invariably reply. "How's that different from a normal journalist?" And I would explain: "I didn't kill Princess Diana."
Low demand for the £1.75bn gilts issued by the Treasury in a bid to raise more money has sparked fears that Prime Minister Gordon Brown's rescue plan may fail.
Fidelity fund guru Anthony Bolton has penned a new book covering his 30-plus years in fund management.
The FTSE 100 opened 10 points higher today at 3,910 with financials gaining after a strong performance from US banking stocks on Wall Street.
First State Investments is to launch a Latin America fund, targeting UK and European wholesale and institutional investors.
Rating agency Fitch has downgraded Prudential's long-term issuer default rating from AA to AA- and senior unsecured debt rating from AA- to A+ to reflect the firm's exposure to volatile markets.
The FSA has arrested two people today, including a senior corporate finance adviser, in connection with an ongoing investigation into suspected organised insider dealing.
The FSA says it has found a significant improvement in the quality of firms’ Key Features Documents since September 2007 when a review found only 15 per cent were effective.
At today’s FSA Turner review conference the eyes of the world looked to the UK’s regulator to set the standard for the future of global financial reform.
A solicitor and his father-in-law have both been sentenced to eight months in prison after being found guilty for insider dealing.
The Financial Services Authority has issued a warning over insurance company Bridgewater House UK Ltd.
The FSA is consulting on whether the Financial Services Compensation Scheme should provide extra protection for holders of temporary high deposit balances in the event of the failure of a UK bank.
The FTSE 100 gave a level start today opening on a par with Thursday’s close of 3,925 but shares boosted in early trades with hope that the FSA’s healthcheck on Barclays could keep it free from government intervention.
The FSA may delay its ruling on its Strengthening Liquidity Standards consultation paper until Q4 this year, according to BDO Stoy Hayward.
The FTSE 100 opened 20 points higher today at 3,763 as equities rebounded from yesterday’s sell off.
You might know the ins and outs of structured products, how securitisation contributed to the downfall of the banks and who authorised Sir Fred Goodwin’s pension, but do you know what brickor mortis is?
It is the year is 2015 and the UK economy is slowly recovering from "the great banking and misregulation crises".
Investment manager GAM has appointed Rupert Cecil as client director in its managed portfolios team in London.
The Bank of England suffered its first failed gilt auction for seven years but yields quickly fell after another successful round of quantitative easing.
Segregated fund clients of collapsed investment broker Global Trader Europe Limited will receive up to 95 per cent of their positions as at 15 February 2008 when the company went into liquidation.
The group claiming to have attacked the home of former RBS chief executive Sir Fred Goodwin has contacted local press in Scotland to warn of more attacks.
Are we seeing a hint of green? I am not referring to St Patrick's Day, albeit the excuse to have another Guinness is always good news. It is, of course, "shoots" that I am referring to but I still can't bring myself to say the phrase in full as there is a danger that I will be shot down by the press and even colleagues in the industry.
This week, Money Marketing reveals Aegon is to cut guarantees on its Income for Life products for new business. This follows price hikes and equity exposure cuts by MetLife and equity exposure cuts from The Hartford.
The High Court will take over a month to decide whether the FSA’s appeal to avoid naming the Lautro 19 has been successful.
HM Revenue & Customs has rolled out a series of tax changes in a bid to streamline how businesses and consumers work with the governing body.
HM Revenue & Customs has revealed that from next month it will be allowed to visit and investigate any self-employed person’s home which is deemed a work space.
Our panel assess council cash for mortgage lending and offer suggestions to the Chancellor for his Budget
HSBC has said 1,200 of its staff could face redundancy.
HSBC has recorded a 62 per cent drop in group pre-tax profits for 2008, blaming global financial imbalances and cheap credit for the slump.
HSBC is teaming up with John Charcol to trial a whole of market mortgage intermediary service.
The Investment Management Association is calling on the Government to raise the Isa allowance to £9600 and consider introducing more incentives for saving.
Insight Investment has launched a new equity income fund designed to provide an enhanced level of income and potential for capital growth.
The FTSE 100 opened lower at 3,896 after its previous close of 3,911, with insurers down after Legal & General halved its dividend and posted a pre-tax loss of £1.5bn for 2008.
The Isle of Man has signed a tax information exchange agreement with France, the 12th signing with an OECD member country.
In The Loop mortgages has launched a 20-year fixed rate mortgage with Mortgage Intelligence.
J.P.Morgan Asset Management has launched five Luxembourg-domiciled bond funds.
Just Retirement has confirmed talks are ongoing about a possible offer for the group.
Key Retirement Solutions has unveiled its plans to launch an equity release referral proposition for advisers and referral partners.
Keydata Investment Services has launched a new issue of its extra income plan.
Legal & General Investment Management has appointed Kevin Carter as a non-executive director.
Legal & General has posted losses of £1.1bn on ordinary activities after tax on an IFRS basis and cut its dividend in order to strengthen its capital and cash position.
Without wishing to sound alarmist, are we about to see the biggest ever change to the equity release market since it was established? And will advisers be ready for it?
Liontrust has made another rumble in the jungle recently with the announcement of the management quartet replacing star fund managers Jeremy Lang and William Pattisson.
LV= operating profit was up 128 per cent from £27.5m to £62.8m in 2008.
The Marketing Innovation Forum has joined the Association of Mortgage Intermediaries as an affiliate member.
Martin Currie is to launch a global energy fund on March 31.
Meteor Asset ManagementPrima Growth Plan 14
Lee Jones says the Turner review raises the possibility of a wide range of mortgage restrictions which have brought serious concerns among brokers
Credit ratings agency Moody's has downgraded Legal & General Assurance Society's insurance financial strength rating from Aa1 to Aa2 and L&G Insurance Limited's IFSR rating from Aa3 to A1.
Moody's Investor Service has downgraded Northern Rock's bank financial strength to E from E+.
The FSA has banned a Walthamstow-based mortgage adviser for blatently risky fraudulent mortgage applications.
Buy-to-let broker Mortgages for Business has launched a buy-to-let broker network to allow unregulated buy-to-let brokers deal with all buy-to-let lenders.
MPs are calling for the Treasury to request an audit of the Financial Services Authority by the National Audit Office for only the second time in nine years.
Jeremy Noble, a mortgage packager and master agent for claim management company Credit Issues, explains how, with mortgages lending at record low levels, many mortgage brokers are looking at other areas to supplement their income. He recounts his experience of finding a new source of work as mortgage lending dried up
Nationwide has stepped in to rescue troubled Scottish building society Dunfermline after the Government refused to bail out the mutual.
NDFARegular Fixed Income Plan March 09
NDFA has brought out a FTSE 100-linked structured product that provides monthly income over a five-year term.
NDFA has brought out a FTSE 100-linked structured product that provides monthly income over a five-year term.
Network Data Holdings has revealed that it failed to find a buyer for the broker business or its mansion headquarters after two months of negotiation.
New Star European fund manager Richard Pease is to join Henderson along with the rest of the firm's European team.
Novia is launching its platform white-labeling facility to the marketplace at the end of April.
Nucleus has appointed Joanne Rutherford as its new client relations director.
The Isa will be 10 years old in just under a fortnight but I am not so sure there will be much to celebrate. Sales have fallen sharply in recent years, relegating the Isa season to nothing more than a sideshow.
OPM Fund Management says its equity funds are thriving in the current market conditions but IFAs are more interested in its fixed-interest offering because they fear equities.
The Personal Finance Society has appointed Citizens Advice director of public policy Teresa Perchard to the PFS board as a lay director.
The important thing in the debate on terminology is that the client understands what he is getting
The Platforum has unveiled the line-up for its wrap and platform conference in London in May.
When we look back in 2017, how will we decide if pen-sion reform was successful or not? Some may think it is only successful if 100 per cent of employers comply with their new pension respon- sibilities, others will be satisfied if 75 per cent comply. Some may deem it a success if it creates seven million new savers, others would disagree if that meant a further five million save less than they did before because employers level down their contributions to existing schemes.
Smith & Williamson started life almost 120 years ago in Glasgow and has long combined accountancy and investment/banking arms in a single entity.
Advisers should consider moving away from solution selling to dealing with areas of anxiety
Darron Preston, investment manager at Aventus Captial Management, believes equities could have reached a turning point and investors should be looking at getting back into the market
RAM Capital/Edge InvestmentEdge Live Protected EIS No 3 Fund
Former RBS chairman Sir Tom McKillop has denied Government claims that there was an 'elaborate ruse' between him and RBS senior independent director Bob Scott to pay former CEO Sir Fred Goodwin more than he was contractually entitled to.
Aegon UK chief executive Otto Thoresen will criticise the FSA for failing to do more under the retail distribution review to widen access to financial advice at a Resolution Foundation conference today.
Reliance Mutual has appointed Sherry Associates founder Nigel Sherry as a non-executive director.
Global ratings agency Standard & Poor’s has cut the Irish Republic’s sovereign credit rating from AAA, the highest, to AA+.
Royal London has reported EEV losses after tax of £762m for 2008, compared to a profit of £173m in 2007, citing stockmarket turmoil.
Standard & Poor's has downgraded Aegon and Aviva, citing concerns over exposure to financial markets.
Schroders has warned that the recession has only just begun and may be worse than the deep recession of the early 1980s.
Scottish Life has launched an online tool, “The Red, Amber, Green status report”, which allows advisers to evaluate how their defined contribution schemes are performing against Scottish Life service standards.
Sesame has appointed former Prudential group sales director John Cowan as an independent non-executive director.
Even though the internet has now become fully embedded in our everyday lives, it is easy to underestimate what a dramatic effect it has had on the behaviour of businesses and consumers.
The Serious Fraud Office has revealed that it has begun investigating an alleged fraud on the corporate banking department of Allied Irish Bank.
Skandia Investment Group has dropped Rathbone’s Carl Stick from its UK best ideas fund, saying his primary investment style no longer suits the overall makeup of the fund.
Skandia Investment Group is launching a new multi-manager global equity fund.
Skerritt Consultants has acquired London-based IFA firm Huntington Investments.
The Financial Services Skills Council has expanded its online information service for careers in financial services and accountancy to include retail banking, financial advice, and credit leasing and finance.
Solicitor Christopher McQuoid and his father-in-law, James William Melbourne have been found guilty of insider dealing in a prosecution brought by the FSA.
Northern Rock boss Ron Sandler's speech at the CII president's dinner last week angered many advisers in the audience.
David Seaton, joint managing director of Rowanmoor Pensions, says small self-administered schemes were considered to be doomed under pension simplification but they have continued to thrive and still offer considerable benefits
Standard Life has announced the process of identifying a successor for group chief executive Sir Sandy Crombie will begin this year.
Scottish Widows Investment Partnership multi-manager team has increased the strategic equity weighting of its diversity fund to 34 per cent to take advantage of the economic change anticipated throughout 2009.
T. Rowe Price, the global investment manager has added a global large cap equity strategy to its Luxembourg-domiciled Sicav range.
Supermarket giant Tesco is to open bank branches in 30 of its stores, marking its move into mainstream banking.
Gregor Watt reports that commercial property may be down but it is definitely not out as the sector is still offering healthy yields
The UK life insurance results season generally comes with ups and downs, but this year fears over capital provisions have been causing frenzy on the stockmarkets.
Hannah Stodell analyses the prospects for a rebound in banks and financials, with some commentators saying the various levels of debtholdings could offer outstanding opportunities
Economic Secretary to the Treasury Ian Pearson was yesterday accused of launching an "extraordinary attack" on the Public Administration Committee over the Equitable Life debacle.
Chancellor Alistair Darling has warned the FSA that an over-regulation of the financial services industry could lead to the stifling of product innovation.
A dual approach to tax-efficient investment and withdrawls can pay off in the search for income
One of the things you notice if you move to a small village, as I have done in the past few weeks, is how much of its social life centres on booze.
The home of former Royal Bank of Scotland chief executive Sir Fred Goodwin has been attacked by vandals.
So at last the world has a group who are to be more despised than politicians. Sleaze was the word that was used to describe the sort of behaviour that involved politicians using their position to enjoy an upmarket lifestyle or to line their own pockets with what we now see as been relatively small amounts of cash.
Treating customers fairly is top of firms' radars and we can all just about quote the six consumer outcomes but it appears that principle-led regulation will be no more.
There is considerable uncertainty about what quantitative easing means, how it will be implemented and what will be the effect.
James Smith reports that after a stark fall in the commercial property sector which shook investors, some commentators believe the market may now finally be bottoming out and starting to offer value
Zurich has appointed five new specialist pension consultants to raise the awareness of the Zurich pension proposition in the intermediary market.