Money Marketing
28 April 2004

  • 'Fewer bells and whistles, more genuine innovation'

    29 Apr 2004

    Real innovation in the protection market could be limited by the need for short-term gain, claims Bright Grey products director Roger Edwards. The sector has yet to carry out the same level of market research and intense product development conducted by other consumer sectors and may never do so because of the structure of the business, Edwards told the protection products conference. He said protection providers have not truly come to terms with exactly what consumers ...

  • 'Get clarity from Customs now'

    29 Apr 2004

    The management of the Whitechurch Network is urging advisers to push their networks to clarify with HM Customs and Excise immediately on whether they will have to pay Vat on member charges. Whitechurch Network managing director Ian McIver wants IFAs to make their networks aware of the potential threat of Vat on charges before their organisation is contacted by Customs. McIver believes once action is taken against a firm, advisers could end up paying Vat while the management ...

  • 'Networks face VAT bill rather than members'

    29 Apr 2004

    Networks and not their members will be facing liability for Vat bills on member charges, according to a senior tax expert at accountancy firm Deloitte & Touche. Deloitte & Touche partner Robin Hume says the position could all boil down to the contracts negotiated between networks and their members. He believes the majority will not include any requirement for members to pay Vat. HM Customs and Excise is examining how and when networks pay tax and has begun ruling ...

  • A&L speeds up online mortgage applications

    29 Apr 2004

    Alliance & Leicester is streamlining its online application system to speed up and simplify the mortgage application process for intermediaries. Paper-based applications used with online submissions are being replaced by a customer declaration document which needs to be returned before completion. A&L says it is now getting 90 per cent of its applications online and will continue to invest in technology to service the intermediary sector. It says the development ...

  • Abbey considers Spanish bank - reports

    4 May 2004

    The board of Abbey National is reconsidering an offer from a Spanish bank according to reports in the Sunday Times.The board is debating whether to reopen talks with Spain's Banco Santander Central Hispano.Analysts believe the BSCH bid could start an auction for the UK''s sixth biggest bank.

  • Abbey For Intermediaries - Abbey growth Options Plan Issue 1

    3 May 2004

    Type: Guaranteed equity bondAim; Growth linked to the performance of the FTSE 100 indexMinimum-maximum investment: £7,000-£1m,Isa £7,000Term: Six yearsReturn: Option 1 - Up to 60% growth at end of term. Option 2 - The higher of 25% of original investment or 50% growth in indexGuarantee: Option 1 - Original capital returned in full regardless of performance of index plus 25% growth if index ...

  • Abbey in 15-Year Fix

    29 Apr 2004

    ABBEY15-Year Fixed RateType: Fixed-rate mortgageFixed term: Until June 2, 2019Fixed rate: 5.74%Minimum loan: £6,000Maximum loan: Up to 95% of valuation subject to a maximum of £250,000, up to 90% of valuation subject to a maximum of £1mIncome multiples: Three times principal income plus second or 2.5 times jointArrangement fee: £199Redemption fee: 365 days' interest ...

  • Abbey slams rivals over 'hidden' wrap charges

    29 Apr 2004

    Abbey has slammed other wrap providers, claiming that their charging structures are too difficult for consumers to understand. Abbey, which is cutting the minimum annual charge on its Sipp-only wrap from £600 to £300, says providers are deviating a long way from the Datamonitor report definition of a wrap which was published last December. The firm says a wrap should incorporate all product wrappers, open architecture, a full suite of financial tools, online ...

  • ABI debunks protection jargon with guide for IFAs

    29 Apr 2004

    The ABI is to consult on revising its statement of best practices for protection products in advance of FSA regulation in January. As part of the consultation, the ABI is expected to issue a guide next week debunking some of the medical jargon on protection products in a bid to make it easier for IFAs to advise clients. IFAs are often baffled by some of the medical terms they must explain to clients and the aim of the guide is to help them better explain to clients the ...

  • ABI presses for a shift of focus to privately funded healthcare

    29 Apr 2004

    Funding of UK healthcare is skewed towards the public sector, according to ABI head of health Richard Walsh. Walsh told last week's Developing Next Generation Protection & Health Insurance Products conference that more private healthcare would increase patient choice, reduce waiting times and improve overall standards of care to enable the UK to compare well with other EU states. The Government's commitment to massively increase NHS funding will not keep pace ...

  • Actuaries tell MPs that smoothing transparency will kill with-profits

    29 Apr 2004

    The Faculty and Institute of Actuaries says with-profits is finished if the Treasury requires full client disclosure of smoothing. The FIA says IFAs would be likely to be misselling if they advise clients to buy with-profits. Under close questioning from members of the Treasury select committee on Tuesday, Faculty of Actuaries president Tom Ross and Institute of Actuaries president Jeremy Goford both agreed that "time would be up" for with-profits if the Treasury decides ...

  • Aifa wants FSA fee change

    29 Apr 2004

    The FSA should levy regulatory fees on IFA firms depending on number of advisers rather than how much income is generated, says Aifa in its response to the consultation on fees.

  • Allianz Dresdner Asset Management - UK High Alpha Fund

    30 Apr 2004

    Type: OeicAim: Growth by investing in UK equitiesMinimum investment: Lump sum £500, monthly £50Investment split: 100% in UK equitiesIsa link: YesPep transfers: YesCharges: Initial 4%, Isa/Pep transfers 3%, annual 1.5%Commission: Initial 3%, Isa renewal 0.5%Tel: 0800 848494

  • Blair raises hopes of pension compensation

    29 Apr 2004

    Prime Minister Tony Blair has given his biggest indication to date that the Government will compensate workers who lost their final salary pensions. In response to a question in the House of Commons last week, Blair said he was actively considering the position of people who have lost money in occupational pension schemes. It is understood that Blair waited until Equitable Life had announced that it would not be suing the Government and the regulators before making the ...

  • Bogard quits as Chase de Vere chief

    29 Apr 2004

    Mark Bogard has resigned as managing director of Chase de Vere Financial Solutions. Bogard joined the group after its acquisition of financial website Moneyextra and oversaw the merger of IFAs MX Financial Solutions and Chase de Vere Investments in March last year. Parent company Bank of Ireland pushed through the merger in May. The shake-up saw MX Financial bear the brunt of 342 job losses. Bogard is being replaced by St James's Place Group strategy adviser ...

  • Busting out all over

    29 Apr 2004

    On April 1 the provisions of the Enterprise Act 2002 and the Amended Insolvency Rules dealing with personal insolvency came into effect. Here we explore the main changes that have been brought about by the legislative provisions. Reduction of bankruptcy period Before April, once declared bankrupt, the period of bankruptcy generally lasted for three years. During this time, there are various restrictions on what a bankrupt can and cannot do. The Enterprise Act has ...

  • C&G reprices its range of fixed and capped rate mortgages

    1 May 2004

    Cheltenham & Gloucester is repricing its range of fixed and capped rate mortgages.

  • CA says 2% cap would turn public away from pensions

    29 Apr 2004

    Doubling the stakeholder charge cap to 2 per cent would exacerbate the pension crisis as people would turn to savings accounts rather than stakeholder pensions, according to research from the Consumers' Association. The CA's research - published a month before the Treasury announces its decision on whether it will vary the price cap - shows that 72 per cent of consumers would choose to invest in a savings account rather than a stakeholder pension with a 2 per cent charge. Eighty-th

  • Cavanagh reshuffle sees Timmins take COO role

    29 Apr 2004

    Cavanagh Group has made a series of board changes which marks the completion of its rationalisation after its purchase of Ernst & Young Financial Management last October. E&YFM chief executive and deputy chief executive Ken Timmins and Charles Gillespie are joining the main board as chief operating officer and group sales & marketing director respectively. Mark Liley has resigned as a director of the main board but will continue as a director of Cavanagh Financial ...

  • Chelsea introduces new rates

    4 May 2004

    Chelsea Building Society has announced new two, three and five year and buy to let mortgage products.New rates of 4.84 per cent for two years, 4.99 per cent for three years, 5.29 per cent for five years and 5.89 per cent for five years buy to let, came into effect on May 1.Existing fixed rate products of 4.42 and 4.64 per cent for two years, 4.99 per cent for three years, 5.19 per cent for five years and 5.79 per cent for five years buy to let have been withdrawn.Chelsea ...

  • Cheltenham & Gloucester - 4-Year Capped Rate Mortgage

    28 Apr 2004

    Type: Capped-rate mortgageCapped term: Until June 30, 2008Capped rate: Up to 90% of valuation 5.69% house purchase, 5.94% remortgage, up to 95% of valuation 5.94% house purchase, 6.19% remortgageMinimum loan: £20,000Maximum loan: Up to 95% of valuation subject to no maximumIncome multiples: Up to three times principal income plus second or 2.75 times jointConditions: Arrangement fee waived and free in-house ...

  • Child is new MD at The Exchange

    28 Apr 2004

    Former chief operating officer David Child is replacing Sue Summers as managing director of The Exchange. Summers is being promoted to deputy managing director of the life and pensions division. The move is part of a restructuring of Marlborough Stirling, which will see the business divided into three sections - life and pensions, mortgages and the Exchange. As a result of the reorganisation executive director of distribution Tony Klim and legal & commercial director ...

  • Child is new MD at The Exchange

    29 Apr 2004

    Chief operating officer David Child is taking over from Sue Summers as managing director of The Exchange. Summers is being promoted to deputy managing director of the life and pensions division in a restructuring of Marlborough Stirling, which will divide the business into three sections - life and pensions, mortgages and The Exchange.

  • Chirrey joins BAM fixed-interest team

    29 Apr 2004

    Britannic Asset Management has appointed Jennifer Chirrey as an investment manager in its fixed-interest team from Abbey National Asset Managers.

  • Chirrey joins BAM fixed-interest team

    28 Apr 2004

    Britannic Asset Management has appointed Jennifer Chirrey as an investment manager within its fixed interest team. Chirrey will join the six-strong credit team which manages Britannic's £6.7bn retail and institutional fixed interest portfolio. Chirrey joins them from Abbey National Asset Managers.

  • Chirrey joins BAM fixed-interest team

    28 Apr 2004

    Britannic Asset Management has appointed Jennifer Chirrey as an investment manager within its fixed interest team. Chirrey will join the six-strong credit team which manages Britannic's £6.7bn retail and institutional fixed interest portfolio. Chirrey joins them from Abbey National Asset Managers.

  • CII Publish April Examination Results

    4 May 2004

    The CII has announced its results for the April exam session, revealing that 618 advisers have passed its savings and investments exam and 264 have completed the financial administration foundation certificate. The CII has also recently received QCA accreditations for its certificate in financial accreditation. In total, 334 candidates have completed their exam requirements for qualification eligibility. CII qualifications director Lucy Courtenay says ...

  • Citigroup MLM-type agents chase leads

    29 Apr 2004

    US giant Citigroup is running a home-service business in the UK to generate protection and sub-prime mortgage leads. CitiSolutions, which launched in the UK in September, operates in a similar way to multi-level marketing. Self-employed reps work part-time to generate leads for UK financial services arm CitiFinancial and sub-prime lender Future Mortgages. The agents do not offer financial advice and get no training to advise but they complete a financial needs questionnaire with ...

  • Company pension gap is closing fast

    29 Apr 2004

    The pension crisis is easing with a massive £60bn wiped off UK companies' pension deficits through improved equity values and increased contributions, says the CBI. It says the pension deficit of UK companies fell by 37 per cent to £100bn at the end of 2003 from an estimate of £160m last June. The CBI described the findings, which are based on FRS17 valuations, as encouraging but stressed the overall deficit remains enormous and is a major business ...

  • Correspondent's week

    29 Apr 2004

    Is the housing market about to fall off a cliff just as the stockmarket did four years ago? And how long before the damage caused by the stockmarket crash is fully repaired? Those thoughts ran like a thread through the past week. Like many wives, mine is addicted to TV programmes which tell us to spend every penny we have buying and improving our property. So, the week started with me taking time off for home improvements, which included an oak floor laid by a firm employing Romanians ...

  • Debate highlighted misunderstanding of with-profits

    29 Apr 2004

    It was good to read your lively debate on with-profits (Money Marketing, April 15) but it strikes me that most of the people on the panel would not know with-profits if it jumped up and bit them on the nose although at least Prudential gave a good account of itself. I conclude that the only reason you give Mick McAteer so much space in your columns is to elicit letters from people like myself. If the Consumers' Association conducted accurate research and was truly representative ...

  • Destini builds up in capital with London buys

    29 Apr 2004

    Destini Financial Services Group has continued its aggressive acquisition programme with the acquisition of two London IFA firms. City IFA London and Redwood will bring 10 more registered individuals into the group. The advisers will be operating alongside Destini Fiona Price, Destini Seymour and Destini Bloomsbury advisers in London. Destini, launched in 2001 by group chairman and chief executive Barry Parsons, has bought 19 IFA firms in the last three years. Parsons ...

  • Distance directive bring in new rules for pre-disclosure

    29 Apr 2004

    Advisers selling investment products over the phone, internet or post will have to provide greater levels of pre-disclosure under a new European directive aimed at guarding consumer rights when buying financial products remotely. The FSA is setting out its rules for implementing the distance marketing directive, due to be enacted on October 9. FSA spokeswoman Jackie Blyth says the rules are designed to bring alignment across the EU. She says the purpose of the DMD is ...

  • Edinburgh Partners - Global Opportunities Fund

    28 Apr 2004

    Type: OeicAim: Growth by investing in global equitiesMinimum investment: Lump sum $10,000Investment split: 100% in global equitiesPlace of registration: DublinCharges: Initial up to 5%, annual 1.25%Commission: Subject to negotiationTel: 0131 270 5570

  • Ex-Brewin chief Thomas refused authorisation

    29 Apr 2004

    Former Brewin Dolphin head of split caps David Thomas, the investment trust designer said to have developed the modern split-cap structure, is believed to have been refused authorisation by the FSA. Thomas is understood to have appealed against the decision to the Financial Services and Markets Tribunal, the statutory body for individuals' and companies' complaints about FSA regulation. Thomas had been planning a return to the financial industry after leaving Brewin ...

  • Fewer take fixes as lending leaps

    29 Apr 2004

    The property market continues to boom with net lending increasing by 37 per cent in the last year, according to figures from the Building Societies' Association Net advances by societies were £1.33bn in March, a big rise from £958m in March 2003. Building society gross advances totalled £4.1bn in March, up from £3.4bn in March last year. Figures from the CML show the highest level of lending for four months, with lending up by 19.5 per cent in March. ...

  • Financial critics win debate on long-term future

    29 Apr 2004

    Two of the pension and savings sector's fiercest critics won a debate against supporters of the financial services industry at London's County Hall last week. An audience of top pension and investment experts voted 65 to 55 in favour of a motion that those who safeguard our long-term financial future has been lost. Speaking for the motion were Labour MP Frank Field and Consumers' Association senior policy adviser Mick McAteer against The Share Centre founder ...

  • Forsyth doubles up on fund of funds

    29 Apr 2004

    Forsyth Partners has added the Forsyth European bond fund and the Forsyth United Kingdom funds to its Dublin-listed Oeic range.Both funds aim for growth and are managed on a fund of funds basis. The Forsyth United Kingdom fund invests in open-ended investment funds that in turn invest in UK equities. The fund can also invest in debt securities if this is seen as an appropriate strategy to take.The Forsyth European bond fund invests in open-ended investment funds that invest ...

  • Forsyth Partners - Forsyth Alternative Strategies Series One - Income Generator Note

    4 May 2004

    Type: Capital-protected fund of hedge fundsAim: Income and growth linked to the performance of a portfolio of hedge funds and cashMinimum investment: Lump sum $50,000Place of registration: DublinTerm:10 yearsGuarantee: Original capital returned in full regardless of performance of underlying fundsReturn: Years one to five- the greater of 2% income or 50% growth in the underlying funds every six months, years ...

  • Forsyth Partners - Forsyth Alternative Strategies Series One - Profit Protector Note

    4 May 2004

    Type: Capital-protected fund of hedge fundsAim: Growth linked to the performance of a portfolio of hedge funds and cashMinimum investment: Lump sum $50,000Place of registration: DublinTerm:10 yearsGuarantee: Original capital returned in full regardless of performance of underlying fundsReturn: Up to 100% growth in underlying funds plus 50% growth in underlying funds every six months providing underlying portfolio is ...

  • Forum wants fund firms to follow electronic trail

    29 Apr 2004

    The Adviser Forum is turning its sights on fund managers with a project aimed at motivating fund firms to transact more electronic business with IFAs to save time and cost. The forum, which has had significant success in targeting the life and pension industry, is urging IFAs and fund managers to set up systems enabling electronic payment of trail commission. The forum represents about 75 per cent of companies comprising the IFA market. This is its first foray into the ...

  • From the FSA team to the A Team?

    29 Apr 2004

    An invitation to a gala dinner from The Compliance Register, the international organisation for compliance managers, started a rumour that FSA supremo John Tiner could be leading the after-dinner entertainment. A circular promises live music from The Deadbeats, starring Credit Suisse Asset Management's Bob White on lead guitar and a mysterious Mr T from the FSA. The Diary wonders if our glorious leader will be swapping his pinstripes for a sleeveless denim jacket, ...

  • FSA castigates basic errors by brokers

    29 Apr 2004

    The FSA says simple errors by firms completing application forms for authorisation to continue writing mortgage and general insurance business are causing delays. To deal with the problem, which is slowing down the regulator's processing of the 5,000 applications received to date, the FSA is posting on its website a list of the most common mistakes that intermediaries are making and a series of tips for completing applications successfully. It says firms are failing ...

  • FSA filter rethink could leave 10% of customers with wrong product

    29 Apr 2004

    The FSA is believed to be considering adopting a guided self-help filtered questions regime which it admits could leave up to 10 per cent of consumers with the wrong product. The regulator is thought to be looking at a standard of 90 per cent of customers getting the same advice through filtered questions as they would have got from advisers. Last December, the FSA went back to the drawing board with its guided self-help plans as its research showed that only 80 per cent of customers ...

  • FSSC aims to develop compliance role

    29 Apr 2004

    The Financial Services Skills Council is working with the International Compliance Association to develop new standards for compliance roles in the industry. The FSSC is aiming to develop compliance standards which will ensure that the compliance function "truly safeguards business" and is interested in devising specific exams for compliance. It has started the first stage of development through a consultation with providers and IFAs to derive industry needs. The ...

  • Give shares and receive tax relief

    29 Apr 2004

    The Giving Campaign is urging IFAs to tell clients how they can make charitable donations on a tax-efficient basis. New NOP research indicates that a quarter of financial advisers are consulting clients on charitable donations, up from 18 per cent in 2001. But only 29 per cent are discussing share giving. The campaign says share giving and charity financial products are two market opportunities where people can get the maximum from charitable giving. Share giving offers ...

  • Glow with the flow

    29 Apr 2004

    Guided by a vigilant and crusading national media, bank and building society customers have become adept at looking for the best return on their cash and investments. They are bombarded with exhortations to remortgage, change credit cards, switch savings accounts and find a tax-efficient home for long-term savings. If they cannot do it themselves, they are advised that an accredited IFA should be their first point of call. If you run your own business, however, you will be hard-pressed ...

  • GMAC- RFC - Self-Cert Unlimited 6.75%

    29 Apr 2004

    Type: Adverse credit self-certification tracker mortgage with discountDiscounted term: Six monthsDiscount: 1%Payable rate: 6.75%Tracker term: Lifetime of loanTracker rate: 3.75% above Bank of England base rateMinimum loan:£25,001Maximum loan: Up to 75% of valuation subject to a maximum of £250,000Income multiples: Up to 3.5 times principle income plus second or three times jointCondition

  • GMAC-RFC unveils new range for adverse credit

    29 Apr 2004

    GMAC-RFC is offering a new range of products for non-conforming clients including bank base rate tracker discount options. The range includes a two-year no extended tie-in product at 6.15 per cent available on a full-status basis or a self-cert version at 6.35 per cent. There is also a discounted base rate tracker with six-month discounts starting at 4.85 per cent full status and 5.15 per cent self-cert. Both full-status loans revert to bank base rate plus 1.85 per cent ...

  • Goldman Sachs pledge to keep up Lincoln leading bond pace

    29 Apr 2004

    Lincoln's top-performing corporate bond fund has passed its third anniversary with manager Goldman Sachs Asset Management pledging to maintain its first-quartile performance. The fund, which invests across the bond spectrum, is currently ranked second out of 74 funds in its sector with a rise of more than 28 per cent since launch in March 2001. Manager Jim Cielinski, GSAM's managing director of global fixed-income and currency management, says he believes that the ...

  • IFA sets up equity-release firm aiming for referrals

    29 Apr 2004

    Reading-based IFA Advice on Money has set up an equity-release service aiming for referrals from IFAs and mortgage consultants. The Equity Release Centre is a whole-of-market service aimed at those who have either decided not to apply for lifetime mortgage authorisation under the FSA requirements or for those who would simply prefer not to spend the time meeting the increased compliance requirements. Commission is split between ERC and the introducer. ERC gives an undertaking ...

  • In GAD we trust

    29 Apr 2004

    I have an incomedrawdown plan that is about to reach its third anniversary and have been told that the amount of income I can take from it over the next three years is significantly lower than at present. Why is that and how can I stop it happening in the future? Your situation is likely to be repeated among many income-drawdown planholders and there are a number of reasons for this. I hope that when the plan was established, you received advice about it and were warned that this ...

  • In the right spirit of things?

    29 Apr 2004

    Some might say the Financial Services Skills Council has been in the spiritual wilderness lately, stumbling on the path to exam framework enlightenment and failing as yet to find its qualifications nirvana. However, the Diary has heard that PR Kate Saunders is taking a transcendental approach to her work. Earlier this month, she climbed the Himalayas with Absolutely Fabulous star Joanna Lumley to meet the Dalai Lama. Saunders had an audience with the Dalai Lama for a ...

  • Independent view

    29 Apr 2004

    "An investment adviser is someone who keeps investing your money for you until it's all gone." So quipped comedian Woody Allen in a famously scathing sideswipe at the US investment industry. Federal Reserve chairman Alan Greenspan was somewhat more succinct when he encapsulated all market analysis as: "A matter of opinion - full stop." UK IFAs have been coming to terms with this full stop in an increasingly obtuse way. To illustrate this, I want to highlight some issues with ...

  • Investment analysis

    29 Apr 2004

    Although most of the world's equity markets ended last week in positive territory, it was another rollercoaster ride with markets falling on the prospect of higher US interest rates before recovering following the latest set of quarterly earnings figures which pointed to a continued recovery for corporate America. By Friday's close, the FTSE World index was trading 0.1 per cent higher, having gained 3.2 per cent in dollar terms since the start of the year. The main ...

  • Investment view

    29 Apr 2004

    Those of you fortunate enough to have attended one of the seminars with which I have been associated will know that I am fond of using quotations to illustrate a point. Some people are truly gifted at coining a few words to give colour to a set of circumstances. One quotable individual is Alan Greenspan. Greenspan has a habit of delivering phases that find a place in common usage. "Irrational exuberance" springs to mind, even if the timing of this particular bon mot appeared a ...

  • IPR bespoke service for small IFAs

    29 Apr 2004

    Investment research company Investors Partnership Research is designing a bespoke portfolio management service for small IFA firms. The company is in negotiations with several big IFA networks and nationals to provide them with bespoke discretionary portfolio management services. It plans to develop a scaled-down version of the service using a software package for smaller IFAs and one-person bands. IPR has been providing research and portfolio and discretionary ...

  • Isa sales March at the double

    29 Apr 2004

    Net Isa sales in March were more than double February's level at £496m and 21 per cent higher than March 2003, according to IMA figures. Net retail sales through tied agents accounted for 46 per cent compared with 36 per cent from intermediaries. The balance was made up of direct-offer sales at 12 per cent and sales through private stockbrokers at 5 per cent. IFAs have shown a 7 per cent increase during the year, with 29 per cent of net retail sales while tied ...

  • Jefferson joins Henderson

    4 May 2004

    First State head of UK and European retail sales Phil Jefferson is joining Henderson Global Investors in a similar role. He will be reporting to UK and Asia managing director Mike Clare.The position has been vacant since Simon Ellis departed for Axa Investment Managers at the beginning of the year.

  • Julian Gibbs

    29 Apr 2004

    I have always been a huge admirer of Nigel Thomas and George Luckraft, now at Framlington. They have both performed extremely well since they joined from ABN Amro. They started managing Framlington funds in September 2002 and over the past year have produced outstanding results. For example, Luckraft's equity income fund has risen by 48 per cent, beating such popular funds as Artemis income, Credit Suisse income and Invesco Perpetual income. Thomas's UK select opportunities ...

  • Kane makes it plain

    29 Apr 2004

    If anyone was under the misapprehension that Scottish Widows had been put under the command of a mealy-mouthed faceless banking man, think again. The new chief executive Archie Kane does not mince his words. With-profits will diminish still further. The FSA is actively seeking to corral IFAs into bigger groups - an accusation often made, but not by chief executives of life offices - maybe IFAs were not being paranoid. Standard will need to replace its senior management as it moves ...

  • Kane shares the pain and gain

    29 Apr 2004

    The Treasury has no business designing savings vehicles and no place in setting charge caps, says Scottish Widows chief executive Archie Kane. Speaking to Money Marketing in his Edinburgh office last week, Kane said: "The Government and regulator have a role in creating a clear framework and clear standards in terms of how the industry should behave. If the Government steps further than that and ends up being involved in price control, that is an effective destroyer of competition. ...

  • Keeping a watch on Big Brother

    29 Apr 2004

    I may have stumbled upon a plot and I feel it is my duty as a citizen of the financial services world to make you aware of it. Anybody operating in the sector who even glanced at this year's Budget proposals would be aware of the Treasury's plans to require the registration of tax-avoidance schemes by (usually) the promotors of those schemes, however they are defined. The clear official intent is to be on the front foot with regard to having information on the schemes available ...

  • Leave FPC alone, says CII

    29 Apr 2004

    The CII has urged the Financial Services Skills Council to leave the standard of the FPC alone, saying that it remains relevant to the needs of today's market. In its response to the Skills Council's consultation on the exam regime, which closed last week, CII director general Dr Sandy Scott says there is no need to raise the standard of the FPC but instead calls for it to be made more pertinent. The CII says it is committed to providing higher-level qualifications ...

  • Live up to the future challenge of change

    29 Apr 2004

    Next Thursday, May 6 will see the biggest one-day show for financial intermediaries return to London's Olympia. With 50 CPD-accredited conference sessions and over 100 exhibitors, Money Marketing Live will once again give financial intermediaries the opportunity to discuss some of the key challenges they face with senior industry figures. In addition to four product-specific arenas, new features for this year include access to the leading intermediary technology show ...

  • Locked up for unlocking scam

    28 Apr 2004

    A tax consultant has been jailed for four years for a pension unlocking scam that transferred £16.5m from an occupational scheme. Anil Kumar of The Broadway, Letchworth, Herts was found guilty of cheating the public revenue of £5.5m tax through the scam that earned him and his partner Peter Rumball £2m in commission between 1997 and 2000. A warrant for arrest is outstanding on Rumball who left the UK for the Philippines in 2001.

  • Locked up for unlocking scam

    29 Apr 2004

    A tax consultant has been jailed for four years for a pension unlocking scam that transferred £16.5m from an occupational scheme. Anil Kumar of The Broadway, Letchworth, Hertfordshire was found guilty of cheating the public revenue of £5.5m tax through the scam that earned him and his partner Peter Rumball £2m in commission between 1997 and 2000. A warrant for arrest is outstanding on Rumball who left the UK for the Philippines in 2001.

  • Luqman Arnold joins practitioner panel

    30 Apr 2004

    Abbey chief executive Luqman Arnold is joining the Financial Services Practitioner Panel. Dresdner Klienwort Wasserstein vice chairman Alan Yarrow will also join. The panel represents the industry and ensures that the FSA takes account of the views and concerns of regulated firms in the development of regulatory policy and in its operation generally.

  • MBNA poised to buy Egg - reports

    4 May 2004

    MBNA is believed to be about to buy Egg from Prudential after reentering the bidding for the internet bank.The auction began in January but initial bidders Royal Bank of Scotland and Lloyds TSB have since withdrawn their interest.Reports suggest that the offer from US credit card giant MBNA may be the last chance for Prudential to find a buyer for Egg.

  • Miles of mortgages

    29 Apr 2004

    Should equity release be seen as a product of last resort by consumers? Sadler: No. Price rises over the last 20 or so years - despite one severe downturn - have created an entire generation of equity-rich homeowners. Many are now opting to release some or part of their capital through equity-release schemes to improve the quality of their lives, particularly as they enter retirement. What is important is that the product matches their needs and circumstances. Lenders and intermediaries ...

  • Millfield issue brings it closer to self-financing

    29 Apr 2004

    Millfield has boosted its working capital by £3.6m through the issue of 6.4 million shares in a move that the group's directors hope will enable it to become self-financing. The issue, which increases the amount that Millfield has raised since its March 2001 flotation to £44m, will generate cash which the group says will be invested in its IT systems and other exceptional trading expenditures. The firm believes the cash injection will rapidly lead to self-financing ...

  • Mistake of Titanic proportions?

    29 Apr 2004

    Rising at 5.30am the other morning, the sound of the dawn chorus reminded me that there exists a purity that is not of this world's making. What a contrast to the platitudes of Standard Life managing director (sales) Nathan Parnaby in the edition of April 15 regarding the demutualisation of what I so recently considered to be one of the stalwarts of the UK financial services industry. Only very recently, we were being repeatedly informed that Standard's mutual status was ...

  • Mortgage edge - Chris Cummings

    29 Apr 2004

    Back in the days of short trousers and scabbed knees, a piece of string, a compass and a handy pocket knife were essential pieces of kit. That's right, I was a Scout. As anyone old enough to smile at their own memories of these times will know, our motto was: "Be prepared." I would like to think I have kept true to the motto. So, what can Lord Baden-Powell teach mortgage intermediaries? The first major lesson has to be about preparing today for regulation tomorrow. There has ...

  • Mortgage edge - Kevin Paterson

    29 Apr 2004

    Much has been written about impending mortgage regulation and, unfortunately, much of it has been ambiguous and non-specific rhetoric. Then there are the FSA consultations and publications which, inevitably, assume an embedded level of experience and understanding about current regulation and practices. This has not been helpful for smaller brokers who do not have the resources to fully investigate the implications to them and their businesses. It is all new to them. Many ...

  • Mortgages Direct deploys Competent Advisor online

    4 May 2004

    Mortgages Direct is to deploy the Competent Advisor training & competence solution throughout its financial services arm as part of its preparation for mortgage and general insurance regulation.The broker says it has chosen the online solution because it addresses the requirements of the MCCB and FSA Fitness and Competence regimes for ongoing mentoring of all advisors and the delivery of ongoing training.The Competent Advisor software uses a database of syllabus-based learning ...

  • Mutuals lead the league on bonds

    29 Apr 2004

    Scottish Friendly is leading the way in the with-profits bond market, according to the latest survey by Investment, Life & Pensions Moneyfacts. The research group's results show with-profits bond returns over various periods based on a single premium of £25,000. The best performer over five years was Scottish Friendly which showed a return of £31,170, followed by Prudential at £29,721 and in third place MGM, returning £28,037. The ...

  • NCC wants shake-up of lending practices

    29 Apr 2004

    National Consumer Council chairwoman Deirdre Hutton has hit out at what she says are irresponsible lenders fuelling the nation's household debt. Speaking at the British Bankers Association annual conference in London last week, Hutton said she wants to see lenders do more to prevent borrowers getting into difficulties. The NCC has previously spoken out on equity release and retirement income but Hutton attacked banks, building societies and credit card companies for ...

  • Network members must unite against VAT on charges

    29 Apr 2004

    Readers will have seen the Customs and Excise decision to start applying VAT to charges made to members of a network. Can I implore anyone who is part of a network to contact their senior management and make it clear what your feelings are. This is a radical change and alters what is nearly 20 years of the network model. Do not wait for your senior management to receive a letter from Customs and Excise. Once it is received, then you will have to pay VAT while they (hopefully) ...

  • New tax regime for trusts

    29 Apr 2004

    The income and capital gains tax changes relating to trusts proposed in the Pre-Budget report have been included in the Finance Bill 2004 and are effective from April 6. For interest in possession trusts, the income tax position is unaffected by the proposals. Discretionary trusts and accumulation and maintenance trusts, however, have the power to accumulate income and thus pay tax at the "rate applicable to trusts" (RAT) which will increase from 25 per cent to 32.5 per ...

  • Next caters for principal seekers

    28 Apr 2004

    Next Generation Mortgages is set to cater for intermediaries seeking direct authorisation. NGM is hoping to sign up 150 brokers and IFAs with a desire to become principals to its proposition which will feature 18 components. Intermediaries keen to sign up to NGM will be required to submit two specialist mortgage cases via the lender every month.

  • NHFA set for move on equity release

    29 Apr 2004

    Long-term care specialist Nursing Home Fees Agency is set to expand its relationship with charity Help the Aged which will see it move into equity release for the first time. Until now, NHFA only off-ered advice on LTC but it is understood to be reinventing itself as an across-the-board retirement planning company, moving into equity release in the process. Sources close to the company say that from May, pat-rons of Help the Aged will get free equity-release advice from ...

  • No Abbey apology

    29 Apr 2004

    I would like to highlight the wonderful service that Abbey Group is providing in helping me to advise clients. Yesterday, I received a letter from the mortgage division without date, reference or name of the sender. The letter advised me that they did not hold a copy of my MCCB certificate and requested that I complete another introducer's form - last completed November 2003. No apology for mislaying papers nor the additional work imposed on me, just a threat to terminate my ...

  • No mere portal

    29 Apr 2004

    Money Portal has become one of the biggest players in the IFA market in the last 18 months via an aggressive series of acquisitions that included Willis Owen and Bates Investment Services. As reported recently in Money Marketing, the company is negotiating a further round of funding and is in talks with nine more IFA firms. Head of communications Kerry Nelson says: "We are building a one-stop shop for financial products. We have an extensive research team based in Leeds and give ...

  • NU slaps guarantee charge on NUL&P fund

    30 Apr 2004

    Norwich Union is placing a 0.75 per cent charge to pay for guarantees on its NU Life & Pensions with-profits fund to allow it to maintain its 52 per cent equity backing ratio.The life office has also published principles and practices of financial management for all of its with-profits funds. Under the FSA's new realistic reporting regime all with-profits providers must publish PPFMs which set out how companies will run the funds.

  • Nvesta - Secure Pension Tracker Plan 2

    29 Apr 2004

    Type: Capital-protected bond for pensionsAim: Growth linked to the performance of the FTSE 100 index Minimum-maximum investment: £20,000-no maximum Term: Six yearsReturn: Up 10 105% growth at end of termGuarantee: Original capital returned in full regardless of performance of indexClosing date: June 16, 2004Commission: Initial 3%, or Initial 2% and renewal 0.25% for 5 yearsTel: 020 ...

  • Octopus carried on VCT wave

    4 May 2004

    OCTOPUS ASSET MANAGEMENTECLIPSEType: Venture capital trustAim: Growth and income by investing in unquoted and Aim-listed companiesMinimum investment: Lump sum £3,000Closing date: September 30, 2004Charges: Initial 5%, annual 2.25%Commission: Initial 2.25%, renewal 0.375%Tel: 0800 619 7977The Eclipse venture capital trust (VCT) from Octopus Asset Management invests in unquoted companies ...

  • On wrong trail

    29 Apr 2004

    It is recognised that Hargreaves Lansdown is largely financed by trail commission so Peter Hargreaves justifiably preaches his own case (Money Marketing, April 8). But has he yet achieved success in rewarding employees on the basis of client contact, not business done? I am not aware that his staff are paid to ring up clients to pass the time of day. How often do they make recommendations to clients based on individual circumstances? When it comes to supplying most insurance ...

  • Out of context

    29 Apr 2004

    •"We have more money in pensions than the rest of the EU put together. We could buy Greece. On a blue cross day, we could get Portugal thrown in." - Scottish Life's Steve Bee puts UK pension saving in context. •"I'll turn down Jimi." - Hendrix fan Robert Reid, of Syndaxi and Sofa, struggles to give his full attention to MM reporter. •"That clown Ron Atkinson has got more chance of getting his job back than you have of regaining the public's faith ...

  • Over 12 million people will still have mortgages in retirement

    29 Apr 2004

    Over 12.5 million people will have a mortgage when they retire as people enter the housing market and switch to new terms later in life, according to research from Prudential. The data shows that 42 per cent of first-time buyers are now over 35 years (2.55 million people) and 21 per cent are over 45 (1.27 million people), pushing increasing numbers into the prospect of paying off their mortgage in retirement. Over 10 million people aged 35 to 65 have started a new mortgage ...

  • PAA cuts cost of term leads

    29 Apr 2004

    The Professional Advisor Alliance is cutting the cost of the term insurance leads it sells to intermediaries. The PAA will cut leads by 30 per cent to £35 from £50. The company says the move has been prompted by an increase in the number of leads it is getting from financial services website moneysupermarket.com. Moneysupermarket provides users with online access to financial product comparison tables. Consultancy Mintel carried out research for the ...

  • Paragon sees fall in first-time landlords

    29 Apr 2004

    Paragon Mortgages' first-quarter 2004 survey of mortgage advisers and brokers has shown a fall in first-time buy-to-let landlords and a rise in the number of landlords increasing their portfolios. The proportion of established landlords extending their portfolios rose from 37 per cent in the fourth quarter of 2003 to 42 per cent, continuing the upward trend seen in the last two years. First-time landlords are down from 30 per cent to 27 per cent. This is despite the ...

  • Platform ticket

    29 Apr 2004

    Fidelity's move to offer financial incentives to IFAs and their clients for re-registering investments on FundsNetwork has unsurprisingly come under fire from its fund supermarket rivals. Their main criticism is that Fidelity's decision - which will see it pay IFAs £50 and their clients £25 for consolidating holdings on its platform - is tantamount to buying business that it would be unable to attract otherwise. There is little doubt that in terms ...

  • Police probe at Norwich IFA

    29 Apr 2004

    IFA Lucas Fettes & Partners managing director Michael Hart has been sacked by the Norwich firm after it discovered financial irregularities which led to allegations that he had taken client funds estimated at between £100,000 and £1.2m. Hart was arrested by police last week and released on bail.

  • Poll reveals life office tech fears

    29 Apr 2004

    Senior life office executives do not believe their companies' IT budgets are big enough to sustain their business strategies over the next two to three years. A survey of 50 life company executives by Sapiens International reveals that 38 per cent are worried that their firms do not have enough cash allocated to develop their IT systems and a quarter have serious doubts about their IT department's ability to deliver results. Twenty-one per cent question the quality of outsourced ...

  • Premier rolls out new structured offering

    30 Apr 2004

    Premier Fund Managers is to launch a new structured product offering investors a potential of 8 per cent growth a year with the return of capital invested.The scheme is designed as a six-year investment although the plan can mature earlier depending on the FTSE100. Investors can expect 8 per cent capital growth if the FTSE 100 index grows by 4 per cent above its start value.Premier managing director Jonathan Fry says: "With interest rates now remaining extremely ...

  • Product matters

    29 Apr 2004

    If the letter I received from Skandia giving details of its new enhanced allocation bond was dated April 1 I would have been in stitches. The terms of its new enhanced allocation bond has everything that a compliance team fears - a "too good to be true" allocation rate of 120 per cent, followed by an early encashment charge of 25 per cent in the first year, reducing by 2.5 per cent a year over 10 years. Add in limited fund choice and high charges at 2.55 per cent a year and this ...

  • Pru and Enable loan cover aims to eclipse ASU

    29 Apr 2004

    Prudential and non-regulated network Enable are launching a mortgage protection plan in the summer designed to compete directly with ASU policies. The Mortgage Protection Plan from the Pru offers extended sickness cover with guaranteed premiums, for the full mortgage term to a maximum of 65 years. Pru says sickness cover under ASU generally ceases to be paid after 12 months. Its product will also provide three months' cover from the start with an optional 12 months' unemployment ...

  • Pru launches DB protection scheme

    30 Apr 2004

    The Prudential has launched a new platinum protection pension scheme aimed at protecting final salary or defined benefit of pensions of employees transferring under the TUPE agreements from the public to the private sector.The scheme aims to protect people who have been members of a public sector scheme. It provides certified benefits similar to those that the transferring employees had before moving under PFI. The platinum pension is comprised of two areas - a direct benefit ...

  • Pru takes a lead role in Sesame multi-tie plans

    29 Apr 2004

    Prudential has been called in from the cold by mega-network Sesame which has abandoned threats made last year to drop the firm from its multi-tie plans and instead says it is the first player to have a place on its panel. Pru has also been appointed to work on the design and delivery of Sesame's non-independent proposition. The other providers on the panel will be announced towards the end of this year although no decision has yet been made on the number of firms on the panel. After ...

  • Reid all about it

    29 Apr 2004

    As someone who has survived the chore of a quarterly VAT return for over five years, I still recall the pain of being subject to a formal VAT visit. The visit came about after I asked the local VAT office about how a particular purchase from another EU country should be handled. Its advice was incorrect, which triggered a warning to the inspectors and the visit followed swiftly after. The benefit of this visit was that the inspector allowed us to ask questions and we ended up ...

  • Reregistration fee smoothes the way

    29 Apr 2004

    I read with interest the front page comments last week from Cofunds marketing director Rick Andrews. Reacting to FundsNetwork's £50 reregistration fee for IFAs consolidating client portfolios on to the platform, Mr Andrews asked whether such a payment to IFAs makes a difference? He might not think so but, if our recent experience is typical, he might find his IFA customers disagree with him. While no IFA would undertake reregistration of a client's ...

  • Rice to run new Cazenove offshore Euro equity fund

    29 Apr 2004

    Cazenove Fund Management is offering an offshore European equity fund managed by former HSBC Asset Management star Chris Rice. Cazenove restructured its pan-European team at the end of 2002 and swooped for five HSBC managers, including Rice and Tim Russell, who have worked together since 1998. Rice's performance at HSBC saw its European growth fund become a top-quartile performer. The Dublin-based fund, to be launched in May, has no initial charge. Annual management ...

  • Richard Verdin on Protection

    29 Apr 2004

    Selling accident, sickness and unemployment policies to borrowers has become quite a profitable activity for lenders and advisers. However the variety of benefits, terms and conditions has been confusing, to say the least. In July 1999, the Council of Mortgage Lenders and ABI launched a new baseline specification for mortgage payment protection insurance which, unfortunately, has to count as one of the biggest missed opportunities for our industry over the last decade. The initiative ...

  • Route march

    29 Apr 2004

    The FSA's deadline for direct authorisation registration is upon us and the networks are lining up their mortgage offerings. After April 30, firms are not guaranteed that their direct authorisation applications will be processed in time to continue doing business and networks are seeing this as the perfect opportunity to bring new recruits on board. The big two networks are going head to head, with Tenet rebranding its mortgage service as Lime and Sesame powering up ...

  • Scot Eq pension has it all

    4 May 2004

    Scottish Equitable is targeting high-net-worth clients with the flexible pension plan. This is an individual personal pension with a difference as it has insured and self-invested options supported by a menu-based charging and commission structure.The pension is part of Scottish Equitable's wealth management business proposition, which caters for the needs of professionals, the wealthier self-employed and company directors. In particular, this pension is designed for clients ...

  • ScotEq to keep cover for angioplasty

    29 Apr 2004

    Scottish Equitable is maintaining cover for angioplasty under its critical-illness offering despite a big number of insurers dropping cover for the treatment. Several of ScotEq's rivals, including Friends Provident, Legal & General, Norwich Union, Scottish Provident and Standard Life, have pulled the plug on cover for the treatment, arguing that it is a relatively simple procedure that requires a short recovery time, with some patients back at work within 10 days. As ...

  • Scottish Equitable - Flexible Pension Plan

    30 Apr 2004

    Type: Individual personal pension with insured and self-invested optionsMinimum premium: Insured option - £20 a month, £200 a year, lump sum/transfers £2,500. Self-invested option - Lump sum £2,500Minimum-maximum ages: 18-74Fund links: Insured option - choice of 40 internally managed funds and 26 externally managed funds from Baillie Gifford, DWS, First State, Invesco Perpetual, Lazard, Merrill Lynch, Newton, ...

  • See you later, alligators

    29 Apr 2004

    After 20 years in personal finance - and at the conclusion of the sale of Wentworth Rose to Aegon, which should be very good for both companies - I find myself leaving the industry, at least for a year or two. This provides me with a rare opportunity to examine the swamp without worrying about dodging the alligators. Financial advisory firms are facing a tough time at the moment and have a very challenging few years ahead. I had a great time in the industry, am extremely grateful ...

  • Sesame seeds Pru

    29 Apr 2004

    Pru has come in from the cold as far as Sesame is concerned. It is now the lead provider helping devise the structure of Sesame's planned multi-tie operation. It seems that the days when it was warned by Sesame that it might not make the grade following the critical-illness pipeline debacle are behind it. The move is a clear vote of confidence in Pru by Sesame. It seems that one product provider at least that stood aside from the multi-tie scramble in which life office ...

  • Small group of life and pension firms leading e-business drive

    29 Apr 2004

    An increase in e-business activity is being led by a small group of life and pension providers which are surging ahead of the rest of the market, according to research from technology provider Focus Solutions Group. Focus questioned companies representing around 70 per cent of the life and pension marketplace on their electronic trading activity last year. Director of market propositions Nigel Smith says the results show that a small group of companies have significantly ...

  • Splits firms agree £100m deal if guilt is dropped

    29 Apr 2004

    Split-capital investment trust providers have put together a reported £100m compensation package on the basis that the FSA will reveal evidence on its split-cap probe. Most of the 21 companies involved in the split-cap debacle are understood to have agreed to contribute to the compensation fund on the basis that the FSA withdraws the requirement that they admit guilt. Firms also want to see the FSA's evidence against them - which the regulator has promised to ...

  • Standard speeds up pension service for intermediaries

    29 Apr 2004

    Standard Life is offering a new service for intermediaries that will allow them easier access to their clients' group and individual pension scheme details. Intermediaries will have access to a new area of the Standard website where they will be able to order information on an individual client. Standard says advisers will be able to select the type of file they want and will be sent an email when the file has been found. They can then log back on to the site within ...

  • Sterling rounds out dozen for PPIAB's accreditation

    29 Apr 2004

    Sterling has become the 12th insurer to be awarded the Raising Standards quality mark by the Pensions Protection Investments Accreditation Board. Sterling, part of the Zurich Financial Services Group, joins 11 other brands which have been accredited, making up 47 per cent of the market in terms of new sales. The other 11 insurers are CIS, Eagle Star, Friends Provident, Norwich Union, Police Mutual, Prudential, Scottish Equitable, Scottish Widows, Standard Life, Unum Provident ...

  • Stewart Ritchie

    29 Apr 2004

    It is not often these days that you find a solid company man who has only ever worked for one firm in a 30-year career but Scottish Equitable's Stewart Ritchie is one such man. But where usually such a long tenure would tie the personality to the company, Ritchie is more well known as the UK's premier mind on pensions - one of only a few "gurus" in an industry where original thinking stands out. Ritchie himself has always been flattered by the title of guru and does admit, ...

  • Structured plans offering growth and protection

    29 Apr 2004

    Legal & General and Scottish Life International are both launching structured products that aim to protect initial capital and give investors potential market upside. L&G's index growth & protection plan 2 guarantees full capital protection and gives 100 per cent of any capital growth in the FTSE 100 index over the fixed term of five and a half years. The capital protection guarantee is lost if funds are withdrawn before the end of the term. Minimum investment is ...

  • Talkback

    29 Apr 2004

    "No, absolutely not. Others have the facility to pass it on to the client and we have no such facility. In my view, it would be completely immoral." James Goodwin Purcell White, James White & Partners "Certainly not. The way that things are moving at the moment,it feels as if we are being kicked while we are down." John Van Ross, M&W Associates "No, it is disgusting. Why should I pay to a network that does nothing and then pay extra per cent to the Government?" Louise ...

  • The buying and selling business

    29 Apr 2004

    You see a client aged 30 and all they want to do is buy a house and pay their day-to-day bills. They have little immediate interest in planning for retirement. Then as the kids grow up and leave home, maybe thoughts of retirement start to kick in and the client has to save like mad to have any prospect of retiring comfortably. Worse still - a businessperson who says to you "My business is my pension." Like it or not, most IFAs have no idea about how to retire from their ...

  • The house of brands

    29 Apr 2004

    Mortgages plc sales and marketing director Peter Beaumont says he is spinning plates and trying to make sure that they all stay in the air. The sub-prime lender has undergone vast changes since it was acquired by European finance company Nikko Principal Investments in a £40m deal in January 2002 when the directors sat down and set goals for where the company would be in the next two to five years. Beaumont says Mortgages plc has literally been rebuilt since the ...

  • The miles file

    29 Apr 2004

    On my first day as a cub reporter 15 years ago, the editor sat me down behind a desk and presented me with a typewriter. Oh, and a very big bottle of Tipp-Ex for the series of mistakes I duly made. What is the old hack waffling on about, you are probably wondering. Well, many of us underestimate the colossal impact that technology has had on many aspects of everyday life and no more so than its implications for investment management. I was reminded of this during a meeting ...

  • Three in a row for IF as it tops Press Watch survey

    29 Apr 2004

    Online bank Intelligent Finance has topped the table of the Press Watch media survey for the third consecutive month. In March, IF was ranked first out of 651 financial services firms covered by the UK national media. Halifax, IF's parent company, came second, up from third from last month, with Nationwide moving up three places to third. IF has been praised for its cash Isas and direct access savings account. Isa coverage rose from 8 per cent of total financial coverage ...

  • TMB rolls out processing service

    30 Apr 2004

    The Mortgage Business is launching a new online mortgage processing service for intermediaries.TMB Interactive is being rolled out to all intermediaries and packagers in May, giving them the facility to process mortgage applications entirely electronically.It will speed up the mortgage process and give an instant online decision with an immediate agreement in principle for straightforward cases.Key features of the system include flexible underwriting, quick offer ...

  • Top protection cash offer as Sesame signs four for panel

    29 Apr 2004

    Sesame will offer higher commission to intermediaries who sign up to its new four-member protection multi-tie panel to be unveiled next week. The company says the Protection Select Plus panel will offer the highest commission rates available in the market through providers Friends Provident, Norwich Union, Legal & General and Abbey. The new panel is available to Sesame members at no extra cost although intermediaries will have to decide whether to sign up to Protection ...

  • Tories look to Lords on annuities

    29 Apr 2004

    The Conservatives will take their plea for annuity reform to the House of Lords if their bid to bring an end to compulsory annuities fails in the House of Commons this week. The Pensions Bill reaches the final stages of committee this week and Shadow pensions minister Nigel Waterson says he intends to table an annuity-related amendment. The Conservatives are not confident that their amendment will be successful and are looking for support from the Lords. At present, anyone ...

  • Triple growth from Keydata plan

    29 Apr 2004

    Keydata is offering a stockmarket accelerator plan that triples any growth in the FTSE 100 index over a six-year period up to a maximum of 60 per cent. Capital is guaranteed unless the index falls by more than 40 per cent over the period and fails to recover.

  • Triple growth from Keydata plan

    28 Apr 2004

    Keydata is launching a stockmarket accelerator plan that triples any growth in the FTSE 100 index over a six year period up to a maximum of 60 per cent. Capital is guaranteed unless the index falls by more than 40 per cent over the period and fails to recover, when capital is reduced by 1 per cent for every 1 per cent fall in the index.

  • VAT sinking feeling

    29 Apr 2004

    IFAs could be in for an expensive shock if a new measure is brought in to force networks to pay VAT on the fees charged to members. HM Customs and Excise has told one network that, following an investigation by its policy unit, the network will have to start paying VAT on the charges that it levies members as a percentage of their commission. Customs and Excise says its view is that the relationship between the client and adviser is exclusive and the contract between ...

  • Verdin anger at 'lost chance to shake up flawed ASU'

    29 Apr 2004

    Direct Life & Pensions sales and marketing director Richard Verdin says the ABI and CML review of ASU insurance is the biggest missed opportunity in the industry in the last 10 years Verdin says root and branch reform of payment protection is clearly needed but all the trade bodies have achieved has been to "dust off" ASU and conclude that it is serving consumer needs. Writing in Money Marketing this week, Verdin suggests the common financial interest in the continuance of ...

  • Virgin buys remaining stake in Virgin Money after £90m HHG deal

    29 Apr 2004

    Virgin has bought the remaining 50 per cent share in Virgin Money Group, paying £90m for the joint venture it owned with HHG, the company comprising AMP's former UK businesses. HHG will get £50m now plus instalments of £20m over two years for Virgin Money which offers stakeholder pensions, Isas, personal loans, savings accounts and credit cards. AMP indicated its intention to sell the firm in the review of its UK operations in December 2002. HHG consists ...

  • Watchdog calling for clarity on protection

    29 Apr 2004

    Some reviewable whole-of-life product literature does not make clear that the premium is not fixed for the term and could change, says insurance ombudsman Reidy Flynn. Speaking at the Developing Next Generation Protection & Health Insurance Products conference organised by Marketing Week in London last week, Flynn said she was shocked when one insurer tried to argue that clients should have understood that the premium was reviewable because the words "initial premium" were ...

  • Watchdog seeks MPs' views on inquiry

    29 Apr 2004

    The Parliamentary Ombudsman has written to MPs to ask whether they feel she should reopen her inquiry into Equitable Life. They have until May 21 to respond. Ombudsman Ann Abraham's report into Equitable published in July last year concluded the FSA had no responsibility for the debacle. Liberal Democrat MP Norman Lamb is tabling an early day motion to get support for reopening the inquiry.

  • Watchdog seeks MPs' views on inquiry

    28 Apr 2004

    The Parliamentary Ombudsman has written to MPs to ask whether they feel she should reopen her enquiry into Equitable Life. They have until May 21 to respond. Ombudsman Ann Abraham's report into Equitable published in July last year concluded the FSA had no responsibility for the debacle. Liberal Democrat MP Norman Lamb, member of the Treasury Select Committee will table an early day motion this week to ensure that there is as much support as possible for reopening the enquiry.

  • Weakening rental sector sparks house price fears

    29 Apr 2004

    Private sector rental inflation was just 4 per cent in the year up to September 2003, according to the first official figures published for the sector. Although rents have risen overall by 22 per cent in the last three years, there is concern that weakening of the rental market could hit property prices as the buy-to-let sector has buoyed the housing market. Figures from the Office of the Deputy Prime Minister show that rents rose by an average of 1 per cent a quarter. ...

  • West Bromwich Building Society- Five Year Fixed Rate

    28 Apr 2004

    Type: Fixed-rate mortgageFixed term: Until May 31, 2009Fixed rate: 5.64%Minimum loan: £25,001Maximum loan: Up to 95% of valuation subject to a maximum of £500,000Income multiples: Up to 3.75 times principal income plus second or three times jointConditions: Six months' free mortgage payment protection insurance, free valuation up to £325 maximum, free legal costs for remortgagesArrangement ...

  • What's on menu?

    29 Apr 2004

    The FSA is hosting a roadshow on the impact of depolarisation and menu reforms. The event is being held in Bristol on May 11 and is part of a series of regional events to help advisers understand major reforms that are under way in the industry. Anyone wanting to attend should call 0207 066 0098 or email events@fsa.gov.uk for more information.

  • Widows chief says FSA using PI crisis to push IFAs into consolidation

    29 Apr 2004

    The FSA is taking advantage of the problems in the professional indemnity insurance market to push IFAs down the path towards further consolidation, says Scottish Widows chief executive Archie Kane. Speaking to Money Marketing in his first interview since moving from parent company Lloyds TSB last October, Kane says he generally believes the regulator is doing a decent job but it is using PI to achieve its desired goal of having to deal with fewer IFAs. The comments mark ...

  • Win the latest home cinema system worth £3,000

    29 Apr 2004

    Let Marlborough Stirling and The Exchange entertain you in this great competition offering you the opportunity to win the latest in integrated home cinema systems worth £3,000. The prize is the latest Sanyo Plasma TV and surround-sound system which has a built-in DVD, VCR, CD, tuner and wall-mountable speakers. About Marlborough Stirling and The Exchange The Exchange was acquired by Marlborough Stirling in 2001 to realise the benefits to intermediaries and product providers ...

  • Winterthur chief calls for simple product charges

    29 Apr 2004

    Winterthur Life is calling for the industry to wake up to its responsibilities to make product charges easier for consumers to understand. Speaking at an industry conference in London this week, Winterthur Life UK director of strategic operations Neil Cantle called on the industry to recognise that one of the biggest problems it will face in the next few year is making its costs more transparent. Cantle believes that although discussion over the menu proposals has brought ...

  • Woolwich and Barclays link to offer guaranteed lifetime tracker loan

    29 Apr 2004

    Woolwich and Barclays will be jointly offering a guaranteed lifetime tracker mortgage by the end of the month. The loan will allow borrowers to track the base rate plus 0.04 per cent for two years and then change to a guaranteed lifetime tracker of 0.95 per cent above the rate. Monthly payments on a 25-year repayment mortgage at 4.04 per cent range from £397 a month on a loan of £75,000 to £1,060 a month on a loan of £200,000. The Woolwich ...

  • Young people are cool on saving

    29 Apr 2004

    Less than half of people under 30 are saving for a pension and fewer are even thinking about making provision for their future, says the ABI. The research concludes there are no "subsequent triggers" to motivate young people to begin saving. Consultancy Andrew Irving Associates carried out the survey for the ABI and the results show that long-term savings is well down the list of priorities of young people. They are more concerned about making ends meet, having a good ...

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