Money Marketing
7 January 2004

  • £675k penalty for Friends over endowment failures

    8 Jan 2004

    The FSA has fined Friends Provident £675,000 for systemic failures in the handling of its mortgage endowment complaints. A visit to Friends' offices by the FSA revealed that the company's mortgage endowment process was using procedures that were biased against customers. The regulator says that, out of a total of 21,788 complaints processed, about 5,500 customers had their complaints rejected because of procedural unfairness. The FSA accused Friends of a readiness ...

  • 40 bidders are vying to buy Aaron

    8 Jan 2004

    The David Aaron Partnership could be sold within a fortnight after administrators KPMG said it was confident of securing a deal by mid-January with one of 40 interested parties. The firm was placed in the hands of KPMG on December 22, days after Money Marketing revealed that six of its 13 RIs had left to launch Bates Investment Services' first regional office. The exodus came after Bates' owner, The Money Portal, ditched plans to acquire DAP in November after "insurmountable" ...

  • A close rung thing

    8 Jan 2004

    It will be a pressured year for mortgage brokers because regulatory changes will pile on the workload and costs. The economic outlook is favourable as we believe low interest rates and low unemployment will be sustained well into 2004. Mortgageforce predicts that house price inflation will be between 7 and 10 cent. HBOS suggests that the North, Scotland and Wales will see the highest levels of price inflation and we agree. Brokers will fight for market share as young buyers continue ...

  • A recipe for PI but menu is undercooked

    8 Jan 2004

    I am reasonably optimistic for the IFA sector. I think they have been through the worst of it. Professional indemnity is still an unresolved issue but I believe it will be a short-term problem, with more mutual schemes springing up. 2004 will be an opportunity for IFAs who are really on the ball to voice their views. People will want to listen to them - including yours truly. Depolarisation will shake down reasonably well but the FSA has struggled to get to grips with the menu ...

  • A simple start, absolutely

    8 Jan 2004

    By the end of January, the main pension industry bodies will have a gentlemen's agreement with the Treasury that pension simplification will go ahead - with a lifetime fund limit of £1.4m - so they can get on with preparing for A-Day in 2005, leaving the National Audit Office to go through the motions on the figures. The anniversary of last year's low point, March 12, will see the FTSE 100 at 4,500 and a rash of fund managers launching advertisements trumpeting 37 per cent ...

  • Abbey launches two new structured plans

    7 Jan 2004

    Abbey is launching two structured products offering investors growth with full protection. The protected growth plan will return 100 per cent of any growth in the FTSE 100 over five and a half years, no matter how far the index falls. If the plan is up at least 30 per cent at the end of the third year, investors can exit early.Abbey has also launched a new issue of its safety plus growth plan. Also over five and a half years, the plan aims to fully return investors' capital ...

  • ABI sets out its stance on savings

    8 Jan 2004

    We were puzzled to read Mick McAteer's article (Money Marketing, December 4). As he knows, the proposal for standardised savings products, with a simpler sales regime and low charges, was put forward by Ron Sandler in his report of July 2002. Since then, the insurance industry has been working closely with the Government and the FSA to try to ensure that this idea is implemented in a practical way that realises all the potential benefits for consumers. This is hardly "posturing", ...

  • Aegon widens IFA reach with Aurora deal

    8 Jan 2004

    Aegon UK has further extended its reach into the IFA world, buying up all of Kent-based Aurora Financial Group. The firm already owned a 9 per cent stake in Aurora which it bought last January but in a deal sealed this week, it has bought out the whole company. It already has majority holdings in five other IFAs. Aegon UK chief executive David Henderson says the move marks the end of stage one of its strategy of taking up majority stakes in IFA firms, saying it is unlikely that ...

  • Aifa cautions Jifa on impossible aims

    8 Jan 2004

    Aifa is telling fledgling IFA organisation Justice for IFAs that it may be trying to achieve the unachievable in its bid for a new definition of misselling through the European Court. Director general Paul Smee rejects comments from Justice for IFA head and Sway chief executive Jon Maguire that Aifa and the LIA have presided over the decline of the IFA sector. Smee says the FSA has conceded ground by issuing a definition of misselling that says IFAs can only be judged by the standards ...

  • Analyst plays down question over Standard solvency

    8 Jan 2004

    The FSA's statement on talks with Standard Life over the calculation of its balance sheet should not be interpreted as indicating the life office faces insolvency, says Commerzbank insurance analyst Roman Cizdyn.Cizdyn says the matter relates to a dispute between the FSA and Standard over the interpretation of accounting rules which are yet to come into force.Cizdyn says: "Shares in listed life offices are rising at present so investors are not worried about the life ...

  • Axa launches capital protected FTSE bond

    12 Jan 2004

    Axa is launching a capital protected bond offering 77 per cent of the growth in the FTSE 100 index while guaranteeing the return of initial capital.The bond does not allow any withdrawals during its five and a half year term and is available from February 9, with a 0.4 per cent extra allocation in the first two weeks from launch, followed by a 0.2 per cent extra allocation in the third and fourth weeks of the offer period.Axa investment marketing manager ...

  • Ban on companies using insurance to cover fines

    8 Jan 2004

    The FSA has confirmed that it will ban firms and individuals from using insurance to pay regulatory fines under new rules approved late last month. The changes, which came into effect on January 1, are intended to ensure that companies and individuals pay the fines themselves rather than claiming it against insurance. The regulator has been contemplating the move since last July and brought the new rules in after a month of heavy fines aimed at some of the UK's biggest institutions. It ...

  • Bankhall's Point One merges with Pru Mortgage Club

    8 Jan 2004

    Bankhall has announced it is bringing Prudential's mortgage club into its fold merging it with its own mortgage offering Point One.The deal sees Prudential Mortgage Services, long tipped to be up for sale, integrating with Point One resulting in a combined membership base upwards of 15,000 advisers.Access to PMS will not be restricted to only regulated IFAs but will be made available to the entire market leading up to the onset of regulation of mortgages ...

  • Base rate sticks at 3.75 per cent

    8 Jan 2004

    The Monetary Policy Committee voted today to keep base rate at 3.75 per cent for another month, a decision that was widely expected by the industry.Charcol senior technical manager Ray Boulger says: "It would have been a major surprise had base rate changed today. Key rate change stimuli has eased recently, in particular general inflation and house price inflation."

  • Brain storm

    8 Jan 2004

    Many offices have swear boxes but it has come to light that some have replaced this with an innuendo box. The one set up by those wise-cracking boys and girls in the Charcol press office (chief culprit, apparently, being Out of Context queen Laura Brain) is proving to be quite a money-spinner. A sensible conversation about peaks and troughs in the market degenerated swiftly after Ms Brain revealed that she performs better when it peaks - a comment which cost her the princely sum of 20p.

  • Bright spark

    8 Jan 2004

    New Year congratulations are extended by the Diary to one of London's most elegant PRs, Penrose's Ms Tilly von Twickel. Von Twickel is a few months into a two-year course to be an electrician at City of Westminster College and has just triumphed by coming top of the class in something called the "core science" Christmas test.

  • Bristol & West and Family Assurance launch Protected Savings Plan

    12 Jan 2004

    Bristol & West and the Family Assurance Friendly Society have joined forces to launch a new capital protected, tax-exempt product for the IFA market.The Protected Savings Plan provides capital protection as well as taking advantage of friendly society tax-exemption rules, which allow regular investments of £25 a month over ten years. Also, because the PSP is written as a friendly society product, the plans can be written for children. Available from ...

  • Bristol & West plays family fortunes

    12 Jan 2004

    Bristol & West has teamed up with Family Assurance to establish the Family protected savings plan, a capital-protected unit-linked endowment linked to the performance of four stockmarket indices.The product marries the capital protection of Bristol & West's structured products with the tax privileges of friendly society plans. Friendly societies can offer tax-free returns on regular savings plans up to £25 a month without the investor having to use ...

  • Call-centre chaos is going to get worse

    8 Jan 2004

    So Direct Line Life & Pensions is thinking about following a long line of competitors who have relocated their UK call centres to India. Everyone, but everyone seems to have a nightmare story to tell about their dealings with call-centre staff in this country. The average IFA will probably bore you silly with a series of banging-their-head-against-the-wall experiences. Why the problems? Well, the approach to training seems to be very regimented. There are systems, scripts, ...

  • Cazalet predicts Standard bonus cuts and curtailing of new business

    12 Jan 2004

    Independent insurance industry analyst Ned Cazalet believes Standard Life has only two options to recapitalise if the FSA believes its capital position is as dire as he thinks it is. In a release issued over the weekend, Cazalet says he belives the capital position is relatively unchanged from the 2002 year end, but this was still cause for concern. He suspects the FSA now holds a similar view to Cazalet Consulting.on Standard's capital position and says it may result ...

  • Cazalet says Standard talks reflect concerns

    9 Jan 2004

    Life industry analyst Ned Cazalet says the FSA investigation into the financial strength of Standard Life reflects his own view that the life office is not as strong as it says it is. Cazalet says Standard's negotiations with the regulator are likely to be based around hammering out an interpretation of the new realistic reporting requirements set to come in next year.Cazalet says: "My view of Standard Life has not changed. It is not going bust. There ...

  • Cazalet warns Standard listing will be no cash windfall

    13 Jan 2004

    Standard Life is almost certain to demutualise but there will not be a windfall bonanza for policyholders, according to leading insurance analyst Ned Cazalet.Cazalet says the life office will need to float at about £3-4bn, assuming there has already been a much-needed substantial capital injection. But as Standard is demutualising out of necessity he says there are unlikely to be cash windfalls to policyholders, especially those in its "effectively closed" £30bn with-profits ...

  • Chancellor to keep it simple on pensions

    8 Jan 2004

    It would be nice to predict an unsurprising year for pensions, when everything happens the way it was planned, but recent history suggests otherwise. I expect more defined-benefit schemes to stop future accrual for everyone, as the true impact of Work and Pensions Secretary Andrew Smith's announcement on June 11, 2003 hits employers. The actuarial profession will carry out a fundamental review of the way that transfer values are calculated. People will be horrified by the solvency ...

  • Chase fined £165k for structured marketing

    8 Jan 2004

    Chase de Vere Financial Solutions has been hit with a £165,000 fine in the first FSA penalty against an IFA over the marketing of structured products. The regulator says Chase, which rebranded from Chase de Vere Investments following its merger with Moneyextra Financial Solutions last June, launched a marketing campaign last March through national newspapers, promoting funds in an unclear, unfair and misleading manner. The promotion covered four high-income bonds - the UK ...

  • Christows Investment Funds - Managed Growth Fund

    12 Jan 2004

    Type: Oeic fund of fundsAim: Growth by investing in exchange traded funds, investment funds and quoted securities in the UK and overseasMinimum investment: Lump sum £1,000, monthly £50Investment split: 100% exchange traded funds, investment funds and quoted securitiesIsa link: YesPep transfers: YesCharges: Initial 5%, annual 1.9%Commission: Initial 3%, renewal 0.5%Tel: ...

  • Christows Investment Funds - Overseas Growth Fund

    12 Jan 2004

    Type: Oeic fund of fundsAim: Growth by investing globally in exchange traded funds, investment funds and quoted securities excluding the UKMinimum investment: Lump sum £1,000, monthly £50Investment split: 100% exchange traded funds, investment funds and quoted securitiesIsa link: YesPep transfers: YesCharges: Initial 5%, annual 1.9%Commission: Initial 3%, renewal 0.5%Tel: ...

  • Christows Investment Funds - Worldwide Growth Fund

    13 Jan 2004

    Type: OeicAim: Growth by investing globally in exchange traded funds, investment funds and quoted securitiesMinimum investment: Lump sum £1,000, monthly £50Investment split: 100% exchange traded funds, investment funds and quoted securitiesIsa link: YesPep transfers: YesCharges: Initial 5%, annual 1.9%Commission: Initial 3%, renewal 0.5%Tel: 08000 353 200

  • Compensation free-for-all

    8 Jan 2004

    At the end of a meeting to discuss a new remortgage and existing endowments, I asked a client what had brought about her complaint regarding the endowment advice as her policies were on target and she has been happy with our advice in the past, as confirmed in her complaint letter. This is the client's response. A colleague at work told her that there was an endowment compensation fund and that he had just received £12,000 The colleague gave her a copy of letter he had ...

  • Consumer champion Sheila McKechnie dies at 55

    8 Jan 2004

    Consumers' Association director Dame Sheila McKechnie has died after a long illness. McKechnie, who died last week aged 55, had lived with cancer since 1997 but maintained an active role as director of the CA until last November. She was an outspoken campaigner who took the side of consumers in many confrontations with the financial services business. She joined the CA in 1995 after nine years as director of housing charity Shelter. McKechnie transformed the CA from what ...

  • Davies goes to Morgan Stanley

    8 Jan 2004

    Ex-FSA boss Howard Davies is to join the board of Morgan Stanley. This will be his first private sector post since leaving the regulator.The bank will be looking to use Davies' knowledge of the FSA and his considerable contacts within the industry.Davies is presently a director of the London School of Economics.Davies will replace Robert Bauman, former chief executive of SmithKlineBeechham who has reached Morgan Stanley's mandatory retirement age.Morgan ...

  • Derbyshire launches 5 year fix at 4.80 per cent

    9 Jan 2004

    Derbyshire Building Society has launched three new five year fixed rate mortgages. The new products are only available direct.The first, at 4.80 per cent, is for loans up to 80 per cent loan to value.Also available is a mortgage at 5.00 per cent from 81-90 per cent loan to value, and one at 5.20 per cent from 91-95 per cent loan to value.All three come with six months' free accident, sickness and unemployment cover and borrowers can make 10 per cent capital repayments ...

  • Endowment claptrap

    8 Jan 2004

    I would like to respond to the article by Andrew Verity in Money Marketing's December 11, 2003 issue. I understand, agree and sympathise with the significant number of consumers who have been missold endowment plans in support of their mortgages but I am appalled at the standard of journalism being used in this matter. My understanding is that the average mortgage duration is something in the order of six years, having spoken to a number of mainstream lenders. This means ...

  • Four sight saga for the new year

    8 Jan 2004

    It is hard to look further than consolidation, which will reach fever pitch this year as the malnourished get eaten up by the gluttons. New Star, exhausted by 2003's acquisition spree, may - that's may - allow other groups to get a look in, so keep an eye on the heavy-hitters targeting potentially vulnerable groups such as Henderson, Morley and Scottish Widows Investment Partnership. Or they could just buy lots of struggling tiddlers with a quick tug on the pursestrings. The ...

  • Friends Prov offers tax tool

    13 Jan 2004

    Friends Provident is offering IFAs a friendly hand with client tax self-assessments this year as the deadline for returns draws near.Tax self-assessment forms are due on January 31 for the 2002/2003 year and Friends Prov is providing its free on-line My TaxFriend tool which offers guidance through the form, along with automatic completion of complex calculations and electronic filing with the Inland Revenue.Friends Provident ebusiness development manager Karen ...

  • From Middle Earth to Middle England

    8 Jan 2004

    2003 finished on a high note with the premiere of Lord of the Rings so I am hoping that 2004 will live up to my greatly inflated expectations. I predict that my stomach will also grow to inflated proportions as I remain unable to refuse dessert. Predictions for the mortgage market are a little vague but I hear from good sources that rates are likely to drop in January - in which case, there is a chance that I might listen to the advice of nea-rly everyone I have met since I started ...

  • FSA and Treasury were warned in 2001 of structured dangers

    8 Jan 2004

    At least one major IFA urged the FSA to launch an immediate review of structured products and the way they were marketed as early as October 2001. Kerry Nelson, who was at the time an adviser with IFA Deep Blue, wrote to Ruth Kelly, then Treasury Economic Secretary, the DTI and the OFT, warning of the dangers of some products' design and inadequate marketing literature. It urged action for clearer risk warnings about the dangers of indices, downside gearing and the averaging practices ...

  • FSA in talks with Standard over financial strength

    8 Jan 2004

    The FSA has issued a statement confirming it is in discussions with Standard Life about its solvency under new life office accounting rules due to take effect later this year. The statement says there has been a high level of engagement between the regulator and Standard which is close to a conclusion.

  • FSA likely to be in talks with other life offices says AKG

    8 Jan 2004

    Consultant and Actuary group AKG says Standard Life is only one of the first insurers to find themselves in discussions with the FSA over solvency this year as a result of the new reporting regime, but many more will follow. The comment follows an FSA statement that it is in talks with Standard Life about the calculation of its realistic balance sheet, saying that there has been a high level of engagement between the two.AKG communications director Guy Vanner says: "It ...

  • FSA thwarts cherrypicking with new data rules for ads

    8 Jan 2004

    The FSA is imposing rules to standardise the presentation of fund data in a bid to prevent groups cherrypicking favourable time periods when displaying past performance in advertising. The rules, which were exclusively revealed in their proposed form in Money Marketing last March, insist that past performance is accompanied by a table showing five-year discrete annual returns expressed as a percentage. From June, fund groups must also place less emphasis on past performance and warnings ...

  • FSA to launch independent review of Standard Life

    13 Jan 2004

    The FSA is to commission a review by independent experts into the origins and implications of Standard Life's problems.It says it will also review the impact on policyholders of the measures proposed by the company during its present crisis and monitor "in the interests of policyholders" the decisions made by Standard Life following its strategic review.In a statement release today the FSA says: "It will consider further, with the industry, possible developments of the ...

  • FSA's exam review is put on hold over Skills Council list

    8 Jan 2004

    The exam review has suffered yet another setback, with the FSA telling the industry that it is putting its development on hold until the Skills Council comes up with a list of acceptable exams for IFAs to select from. The FSA is still bent on moving from an "approved" exam regime to an "appropriate" regime, with companies responsible for deciding which qualifications are necessary for their staff but this move has been delayed. At a private meeting in December, manager for industry ...

  • Gartmore predicts equities to outstrip bonds in 2004

    7 Jan 2004

    Gartmore chief investment officer Quintin Price is predicting global equities to outperform bonds in 2004 but says the chances of equity market returns being as high as in 2003 are remote. The fund manager is expecting Japan and emerging Asian markets to outperform Europe over the next year.Price says: "We expect returns to be far more modest in 2004, particularly for the developed markets, with stronger returns coming from Japan and emerging markets, especially those in Asia. ...

  • Holding back the years...

    8 Jan 2004

    Zero marks for gallantry to Brown Shipley's Alan Mitchell for the email sent to Cauldron Consulting's Jain Castiau after her mention in the Diary last week. Jain received an email saying: "You can't be the same Jain I worked with years ago - she must have been put out to grass a long time ago." Think of fine wines, Alan, they get better with the years.

  • Honours for Axa boss Brydon and pension reviewer Pickering

    8 Jan 2004

    Axa Investment Managers chairman Donald Brydon has received a CBE in the Queen's New Year's honours list. Brydon, 58, spent 22 years at Barclays and was chief executive of Axa Investment Managers from 1997 to 2002 before becoming chairman. He is also deputy chairman of the Financial Services Practitioner Panel. Prudential chairman and former Bank of England deputy governor David Clementi receives a knighthood, as does Derek Higgs, the investment banker who headed the City's ...

  • House prices up 1.8 per cent in December - Halifax

    7 Jan 2004

    Halifax's monthly house price index reveals that house prices increased by 1.8 per cent in December up from a 1.1 per cent increase in November.The annual growth for 2003 was 15.4 per cent down from the 26.4 per cent increase experienced during 2002.General manager, group economics Shane O'Riordain says: "The housing market is undoubtedly strong, but there are clear signs that the market will continue to slow down naturally as the impact of higher interest rates and ...

  • How costs went through the roof

    8 Jan 2004

    Fourteen years ago, I had a dodgy looking flat roof. I went into my local builders' store and sought advice from the expert.I clearly recall that the chap carefully assessed my situation. "Got a leaky roof, guv?" I told him: "Well, yes. Not quite leaky yet but what do you think?" He considered this further and took down some more detailed facts. "How big is this roof?" I answered: "Ten feet by eight feet approximately, made of asphalt." He then provided me with his expert ...

  • IFAs say Lumsden had to go

    13 Jan 2004

    IFAs believe the resignation of Iain Lumsden was unavoidable given that Standard Life is now considering demutualisation as an option.They say he has been so belligerently behind remaining mutual that there is no way he could stay at Standard Life now.Informed Choice managing director and Sofa chairman Nick Bamford says: "Lumsden's resignation is natural fall out. He has been saying for the last five years that Standard Life will remain mutual."Syndaxi Financial ...

  • Independent view

    8 Jan 2004

    Dare I say it, but the pension review still lingers on like a dark shadow over the reputation of pensions and everyone connected with them. The public have been left with a nasty taste and severe doubts about what to do for the best. Having said that, we have definitely noticed an upturn in morale among our clients - or is it the realisation that they have missed the property boat and resigned themselves to the stalwart of equities and pensions in the absence of anything better? I ...

  • Insight appoints head of equities

    9 Jan 2004

    Insight Investment has recruited Mark Burgess as head of equities. He is expected to join Insight in March 2004. Burgess will report to Insight's chief investment officer, Abdallah Nauphal, and will have responsibility for Insight's equity investment research and management across all markets.Nauphal says: "We are delighted to have secured Mark's appointment. He is a talented investor and we are confident that he has the skills and experience to further develop Insight's ...

  • Investment analysis

    8 Jan 2004

    Most of the world's stockmarkets produced solid gains during December, helping equities to record their best performance since 1986 and the first year of positive returns since 1999. During December, the FTSE World index rose by 4.6 per cent, a gain of 27.9 per cent over the year. In the UK, the FTSE 100 ended the month with nine consecutive gains, its best run since June 1999. Over the month, the index moved 1.5 per cent higher for a gain of 13.6 per cent over the year and ...

  • Investment view

    8 Jan 2004

    If 2002 had been about survival, then 2003 was the year of rehabilitation. Or at least so thought the chairman of Betelgeuse Investment Funds as he sipped a sherry, looking out from his office at the fast-flowing Thames beneath. Mind you, he mused, the first few months had felt more like failing to survive. It had been the worst season for Isa sales he could recall and as for the performance of the stockmarket. He shook his head. This was one memory that he was happy to leave behind. Straighteni

  • Isis Asset Management - Multi-Manager Distribution Fund

    13 Jan 2004

    Type: Oeic fund of fundsAim: Income and growth by investing in Oeics, unit trusts, investment trusts and property funds Minimum investment: Lump sum £1,000, monthly £50Investment split: 30% equity funds, 50% fixed interest funds, 20% property fundsIsa link: YesPep transfers: Yes:Charges: Initial 5%, annual 1.25%Commission: Initial 3%, renewal 0.5%Special offer: ...

  • Julian Gibbs

    8 Jan 2004

    Most investment managers are optimistic about the outlook for world stockmarkets this year, with the consensus view of all markets being positive except for UK Government securities, where most are pessimistic and no one is optimistic. While most are neutral about US smaller comp-anies, Europe, UK corporate bonds and international bonds, they are most optimistic of all about the Pacific exc Japan. Twenty-three of the 25 managers are positive, with the remaining two neutral. They ...

  • Kitchen leaves Lifeboat for new challenge

    8 Jan 2004

    IFA group Lifeboat Financial chief executive David Kitchen has resigned after spending three years developing the business. Kitchen says he is reviewing his options and plans to stay in the financial services sector. Bill Wynn has been appointed acting chief executive. He joined the group in October 2002 as chief financial officer. Kitchen was one of the founders of IFA Start Independent and Simply Assured which became part of Lifeboat Financial Group. He intends to retain ...

  • Leeds & Holbeck - 3 Year Fixed Rate

    8 Jan 2004

    Type: Fixed-rate mortgageFixed term: Until March 1, 2007Fixed rate: 4.69%Minimum loan: £25,000Maximum loan: Up to 90% of valuation subject to a maximum of £300,000, up to 85% of valuation subject to a maximum of £400,000, up to 80% of valuation subject to a maximum of £500,000Income multiples: Up to 90% of valuation - up to 3.5 times principal income plus second or three times ...

  • Lighthouse issue share options to advisers

    13 Jan 2004

    Lighthouse is to offer shares to a vast majority of its advisers. The IFA is to make cash payments totalling £150,000 and issue options of over 1.2 million shares at an exercise price of 1p each. This amounts to around 3.4 per cent of the issued ordinary share capital of Lighthouse Group.The options have an aggregate value of around £320,000 and can be exercised to 50 per cent on or after 30 September 2004, with the balance available on or after 31 December 2004. All ...

  • Liv Vic axes guaranteed rates on stand-alone CI

    9 Jan 2004

    Liverpool Victoria has announced it is doing away with guaranteed rates on its MIMI stand alone critical illness policies and is striking angioplasty off the list of conditions covered.The insurer says the changes reflect the claims experience of its reinsurer GE Frankona Re, as well as changing market conditions and improved diagnostic techniques. While MIMI stand-alone critical illness rates will go, reviewable rates will still be available, as will guaranteed rates on ...

  • LLoyds TSB finance director to leave company immediately

    13 Jan 2004

    Lloyds TSB Group has announced that its group finance director Philip Hampton is to leave the company immediately. He will be compensated in line with his contractual entitlement.Lloyds says since Hampton joined the company in June 2002 its strategic direction has changed, resulting in a focus on organic growth within the core businesses. It says this meant a move away from the merger, acquisition and restructuring activity that was the focus at the time of his appointment.Deputy ...

  • Market Harborough Building Society - 2 Year Fixed 3.50%

    9 Jan 2004

    Type: Fixed-rate mortgageFixed term: Two yearsFixed rate: 3.50%Minimum loan: £30,000Maximum loan: Up to 90% of valuation subject to a maximum of £500,000Income multiples: Up to 90% of valuation - three times principal incomeplus second or 2.5 times joint. Up to 75% of valuation - 3.25 times principal income plus second or 2.75 times joint.Arrangement fee: £295Flexible ...

  • Market Harborough ties it up

    12 Jan 2004

    MARKET HARBOROUGH BUILDING SOCIETY2 Year Fixed Rate 2.39%Type: Fixed-rate mortgageFixed term: Two yearsFixed rate: 2.39%Minimum loan: £30,000Maximum loan: Up to 90% of valuation subject to a maximum of £500,000Income multiples: Up to 90% of valuation - three times principal income plus second or 2.5 times joint. Up to 75% of valuation - 3.25 times principal income plus second or 2.75 times joint.Arrangement ...

  • Media reports of Standard problems exaggerated - Reid

    9 Jan 2004

    National newspaper reports of concerns over the financial strength of Standard Life are an irresponsible overreaction says Syndaxi Financial Planning partner Robert Reid.Reid says it is to be expected that the FSA would probe the way Standard handles its accounts and says to extrapolate that to say investors should consider moving funds away from the life office is unreasonable.Reid says: "A lot of the media reports around Standard have been rubbish. Anyone recommending ...

  • Modernisation or stealth taxation?

    8 Jan 2004

    The Pre-Budget report has created an opportunity for you to contact your trustee clients to update them on the potentially significant changes to trust taxation of income and capital gains. In paragraph 5.93 of the Pre-Budget report, the Chancellor recognises that "trusts have a positive role to play in assisting people to manage their tax affairs and in particular in holding assets on behalf of vulnerable people. However, the tax regime for trusts has not kept pace with the times ...

  • Nationwide - 3 Year Tracker Mortgage

    9 Jan 2004

    Type: Tracker mortgageTracker term: Three yearsTracker rate: Up to 95% of valuation - Bank of England base rate plus 0.69%,up to 90% of valuation - base rate plus 0.29%, up to 75% of valuation - base rate plus 0.19%Minimum loan:£1Maximum loan: Up to 95% of valuation subject to a maximum of £200,000, up to 90% of valuation subject to a maximum of £300,000, up to 85% of valuation subject ...

  • Nationwide International - 2 Year Fixed Rate Bond

    7 Jan 2004

    Two-Year Fixed-Rate BondType: High-interest accountMinimum-maximum investment: £1,000-£1mFixed term: Two yearsFixed rate: 4.7% gross a year, 4.6% gross a monthWithdrawal penalties: No withdrawals permitted during termTel: 01624 696 000

  • Net dividend

    8 Jan 2004

    Last week, I started to look at the seasonal subject of how best to extract funds from a private company with minimum payment to the authorities. I have already looked at the criteria and formalities for payment, including the payment of interim dividends. This week, I would like to look at the more well-known financial implications. Dividends are paid out of the net income of the company and are not taken into account in computing its profits for corporation tax purposes. Most important, ...

  • New Star spans the galaxy

    7 Jan 2004

    New Star Investment Funds has established a portfolio management service made up of three Oeic funds of funds and a unit trust acquired last year from Edinburgh Fund Managers.The Galaxy portfolio service is available to investors with at least £25,000 and provides access to New Star performance portfolio, New Star fund of funds portfolio, New Star managed growth portfolio and New Star monthly income trust.New star performance portfolio can invest ...

  • New two year tracker from Savills

    12 Jan 2004

    Savills Private Finance has launched a two year tracker at Bank of England base rate minus 0.2 per cent for the first year (current rate 3.55 per cent) and base rate minus 0.1 per cent for the second year.Penalties are six months' interest during the two year period, minimum loan is £200,000 and there is no maximum loan. The product is available to 95 per cent loan to value, and has a £395 arrangement fee.

  • Newcastle Building Society - 3 Year Discount Mortgage

    8 Jan 2004

    Type: Discounted-rate mortgageDiscounted term: Until March 30, 2009Discount: 2.31%Payable rate: 3.49%Minimum loan: £15,000Maximum loan: Up to 90% of valuation subject toa maximum of £500,000Income multiples: Up to 90% of valuation - 3.35 times principal income plus second or 2.5 times joint, up to 75% of valuation - 3.5 times principal income plus second or 2.75 times joint, up ...

  • No crisis says Standard

    8 Jan 2004

    Standard Life says it is in no financial difficulty and that discussions with the FSA over new solvency requirements are not crisis talks.Responding to newspaper reports that its spare capital is likely to fall to £2.5bn from £6bn under new reporting rules to come in next year, the life office says it expects later this month to announce a free asset ratio close to the 19.5 per cent announced in results published last August.Standard Life ...

  • No impact on current surrender values

    13 Jan 2004

    Standard Life asserts there will be no impact on current surrender values, transfer values or payouts following the announcement Iain Lumsden has resigned as chief executive and it is reviewing its mutuality.It also maintains there will be no impact on unit-linked and non with profit policy holders.

  • No reason to panic over Standard's solvency says McPhail

    8 Jan 2004

    It is premature to suggest there is a solvency problem at Standard Life despite several reports today according to Hargreaves Lansdown head of pensions research Tom McPhail.He says new solvency guidelines from the FSA are only now starting to be applied to the life insurance sector, and it is too early to tell how it will affect the financial strength of providers.Looking objectively at Standard, McPhail says there is much more reason to believe it might have been under ...

  • On the four front

    8 Jan 2004

    Times have been particularly challenging for IFAs over the last three years and 2004 is shaping up to be one of the most demanding. Mortgage advisers and lenders will have to cope with sweeping changes brought by the move to statutory regulation. Pension advisers will need to provide clear guidance to clients in the run-up to pension simplification, even though the project is suspended in uncertainty as a National Audit Office examination threatens to halt the whole thing. For investment ...

  • Origo hosts IFA workshops

    7 Jan 2004

    Standards body Origo is to hold e-commerce workshops for IFAs.

  • Out of context

    8 Jan 2004

    •"We will be monitoring IFAs' Christmas cards to make sure they are compliant." - FSA spokesman Rob McIvor. •"No we haven't received any Christmas cards from IFAs." - McIvor again. •"You're shaking their hand and then have to decide which cheek to kiss first, so you go towards the left and then the right and then before you know it you're snogging them." - AITC PR executive Jemma Jackson. •"I am becoming more and more debased by the minute." ...

  • Paper mountain will seem more like a molehill

    8 Jan 2004

    2004 will be the year when the axe will finally fall on polarisation. After at least four years of consumer research, draft proposals and much deliberation, the rules will finally be changed some time in the new year. The details of the new menu, along with draft depolarisation rules, should emerge in February. The FSA has assured us that the menu will apply across all channels. So expect some smiley, happy faces at your local bank and building society. The FSA has assured us that ...

  • Personal Touch gets network go-ahead

    8 Jan 2004

    Non-regulated network Personal Touch Insurance has been granted IFA network status by the FSA and is now looking to become the "Tesco of the financial services industry". It describes the move as the "final piece in the jigsaw" of its plans to offer intermediaries access to a financial supermarket with a wide range of regulated products, including pensions and investments, as well as mortgages and general insurance products. The set-up includes sales and marketing support, compliance, ...

  • Pitfalls for small insurance brokers in FSA authorisation

    7 Jan 2004

    Small insurance brokers need to be careful when completing their applications to become authorised by the FSA as the compliance burden is more onerous than it first appears, says insurance law firm Reynolds Porter Chamberlain.According to RPC, although the new high street firms application pack is "relatively straightforward" to complete for small firms with annual income less than £1m, it does not reveal the true continuing burden of compliance.RPC financial services ...

  • Preferred Mortgages launches new product range

    13 Jan 2004

    Specialist lender Preferred Mortgages is launching a new product range on January 19th.The new range is a revision of the 2003 range however the discount periods will be extended, with the one year discount up to 1.50 per cent now available until 30th April 2005 and the two year stepped discount up to 1.75 per cent until 30 April 2006.Customers will no longer have to produce payslips or P60s on application for the extra light product - they will simply need to obtain a ...

  • Product matters

    8 Jan 2004

    If your clients missed out on the latest issue of the National Savings guaranteed equity bond, which took £100m of new investments, they should count themselves lucky. A new plan from Woolwich Plan Managers offers better terms. Investors who have already used their Isa allowance can still benefit by making use of their capital gains tax allowance. The National Savings product offered 95 per cent of the rise in the FTSE 100 index over a five-year term or your money back in full. ...

  • Pru halts bonus rate slide

    7 Jan 2004

    The Prudential has halted the slide of its annual bonus rates, announcing it is to keep bonus rates the same on its Prudence bond. Last year the annual bonus on the PruBond was 3.25 per cent, with 375,000 investors in the bond. The Pru say that in the current market conditions there is no need to make any more interim announcements on the bond's annual bonus levels until scheduled in February 2005. A full bond rate announcement for its with-profits policies is to be announced ...

  • Prudence bond rate is held at 3.25%

    8 Jan 2004

    The Prudential looks to be halting the slide of its annual bonus rates, announcing that it is to maintain the present rates on its Prudence bond. Last year, the annual bonus on the bond was 3.25 per cent. The bond now has 375,000 investors. The Pru say that in current market conditions, there is no need to make any more interim announcements on the bond's annual bonus levels until February 2005. A full bond rate announcement for its with-profits policies will be made on February ...

  • Quester searches for top-up

    7 Jan 2004

    QUESTER CAPITAL MANAGEMENTQUESTER 5 VCTType: Venture capital trustAim: Income and growth by investing in unquoted companiesMinimum investment: Lump sum £3,000Opening/closing date: November 17, 2003/March 31, 2004 for 2003/04 tax year, April 30 for 2004/2005 tax yearCharges: Initial 5%, annual up to 2.5%Commission: Initial 3%Tel: 020 7227 3333Quester 5 was established in December 2001 and started investing ...

  • Richard Verdin on protection

    8 Jan 2004

    January is the time when people traditionally reflect on things, particularly the events of the past year and, following this reflection, it is common to make New Year's resolutions. So I thought that I would reflect on 2003 and set a 2004 resolution that I would very much like the life insurance fraternity (insurers and re-insurers) to sign up to. Looking back on 2003, apart from the realisation that critical-illness policies have to change, the other big issue has been the sheer ...

  • Rights and wrongs

    8 Jan 2004

    There is no doubt that the Financial Services and Markets Act gives the FSA strong powers. Whether those powers are so Draconian that the European Court decides they breach the IFA's human rights can only be tested by legal challenge. If FSMA is overturned, the way that the IFA works would be changed for ever -no more retrospective reviews, no longer the threat of criminal proceedings without due process, no charges for spurious complaints. Intermediaries' support for Jon Maguire's ...

  • Rights issue

    8 Jan 2004

    If they are successful in their bid to overturn the Financial Services & Markets Act, the group of IFAs co-ordinated by Sway chief executive Jon Maguire could change the IFA landscape. Maguire is setting up a lobbying organisation, Justice for IFAs, to argue that the powers given to the FSA in the FSMA breach European human rights legislation. It is a move that is bound to ignite a debate over whether the IFA sector should argue its corner with the regulator and Government in a ...

  • Ring of confidence

    8 Jan 2004

    It's one Bill to rule them all - The Diary is glad to see that TheMortgage Business is taking a topical approach to time-keeping. The firm (ingeniously, the Diary might add) persuaded its staff to dress up as characters from the movies for a 2004 calendar. The Diary's favourite is Lord Of The Rings - doesn't the sprightly Bill Dudgeon make a lovely Frodo? He doubles up later in the year as Harry Potter but definitely looks best as a hobbit. The Diary is just a bit surprised ...

  • Saturn winging in to calm the PI storm

    8 Jan 2004

    With Capricorn rising in the new moon I foresee a number of dramatic interplanetary changes in 2004. Thursdays will be especially lucky next year for no particular reason. Saturn will move in to the Seventh House, offering stability and security to journalists who can feel confident they will eventually recover from the endless December boozing. A look into the future reveals that IFAs would be well advised to continue being frugal and guard their pennies against a looming 1 per ...

  • Scottish Life offers pension platform access for SMEs

    8 Jan 2004

    Scottish Life is offering an employee benefits' platform which allows smaller companies access to online pension valuation traditionally available only to blue-chip company schemes. The platform will mean staff of SMEs using the system will be able to log on to their own account to track their occupational pension pot and other employee benefits. The new offering, which is called works4you, is available through ScotLife's Retirement Solutions range of company-based pensions ...

  • Scouting for boys

    8 Jan 2004

    In the first of an occasional series, the Diary sets about finding out the deepest darkest secrets of the PR fraternity. Although most would think butter would not melt in her mouth, we can reveal the scout hut shame of Aegon's consummate PR professional Ms Lesley "leisurely" McPherson. Entrusted as a girl guide patrol leader to take her team on a backwoods adventure, Leisurely led them straight to the scout hut to, as she claims, hang about. When discovered, she was offered ...

  • Sesame determined to build the leading multi-tie panel

    8 Jan 2004

    Sesame has pledged to assemble the best multi-tie panel in the marketplace after depolarisation, saying it will have failed its members if it does not achieve its aim. Speaking to Money Marketing, Sesame commercial director Martin Davis says the introduction of multi-ties into the distribution framework is a perfect opportunity to address some of the fundamental problems facing IFA firms, such as the spiralling cost of professional indemnity insurance and poor levels of service from ...

  • Sipp shape

    8 Jan 2004

    I have been reading about Government plans to simplify pensions. How will this affect my pension, in which I have £390,000, with around 10 years to go before I want to take benefits? The money is currently invested in a self-invested personal pension and I am thinking about buying a property with the fund. What do you advise? The final decisions have yet to be made on pension simplification but we expect to hear more in the March Budget. The Chancellor has asked the ...

  • Slower rates of change in protection market

    8 Jan 2004

    With product changes and over 40 rate changes, the protection market during 2003 was volatile to say the least. In 2004, we expect further rate and product changes. Liverpool Victoria has recently announced a rate change for January but hopefully we will see less frequency and less volatility. The market should stabilise compared with 2003. The critical-illness product is not broken yet and sales should continue to increase. However, in the race to develop a new-style product, ...

  • Sofa's view

    8 Jan 2004

    So, the child trust fund details have been announced. At last. I suppose October 28 could be loosely described as falling in the "summer of 2003" (when details were promised). If we forget about the £250 Government payment (£500 in some cases) and the future payment at age seven, we can concentrate on where advisers may be likely to become a bit excited - in the area of family and friends being able to contribute up to £1,200 a year to boost the fund. This could result ...

  • Standard carpetbagger describes latest development as worrying

    9 Jan 2004

    Standard Life carpetbagger David Stonebanks says news that the mutual insurer is in talks with the FSA over the calculation of its realistic balance sheet is worrying and gives more weight to the demutualisation argument.Stonebanks says that as a policyholder the development is worrying, however he believes it is likely only to impact on future bonus rates. He believes the situation makes a potential float more likely, as it may need to raise more capital. Between he and ...

  • Standard Life Bank unlikely to be affected

    13 Jan 2004

    The industry does not believe Standard Life Bank will be affected by the changes currently shaking Standard Life.Legal & General head of publicity and press relations John Morgan says although the ownership of SLB might change within Standard Life, there is no reason for it to be sold if it is making a profit.And Park Row Independent Mortgages managing director Kevin Paterson says: "I don't think SLB will be affected - it has a good range of products and is profit ...

  • Standard Life chief executive Lumsden steps down

    13 Jan 2004

    Standard Life group chief executive Iain Lumsden is being replaced by Standard Life Investments chief executive Sandy Crombie with mmediate effect.Lumsden's retirement, after 36 years with the life office, comes as Standard has announced it is reviewing its mutual status. Chairman Sir Brian Stewart says: "The Board accepted Iain's view that he would not have been able to see the strategic review through to implementation because of his planned retirement date. We ...

  • Standard Life comes into property

    8 Jan 2004

    STANDARD LIFE INVESTMENTSPROPERTY INCOME TRUSTType: Closed-ended investment company Aim: Income and growth by investing in UK commercial property Minimum investment: Lump sum £5,000 Investment split: Standard offices 37.5%, retail warehouses 25.5%, leisure 16%, office parks 10.7%, standard industrials 8%, industrial parks 2.3% Place of registration: Guernsey Charges: Initial 2.5%, annual 0.85% Commission: Initial ...

  • Standard Life refuses to comment on UBS floatation plan claims

    12 Jan 2004

    Standard Life is refusing to comment today on reports that investment bank UBS has been retained by the insurer to prepare it for possible stock market flotation if its current talks with the FSA over new accounting practices fall down.News reports over the weekend said UBS advisers had been hired to prepare Standard for a suggested £5bn flotation as a possible option. Some suggest this is the board's favoured option, but it is also looking at other options such as raising ...

  • Standard Life says announcement coming tomorrow

    12 Jan 2004

    Standard Life has today released a statement saying it is hopeful of making a announcement tomorrow revealing the results of its recent solvency negotiations with the FSA. It also says that it has been informed of some "unusual trading" in its subordinated debt and that it has asked the UK Listing Authority to suspend trading in these until the announcement is made, to avoid the possibility of a false market in its bonds.The statement reads:"In order to bring speculation to ...

  • Standard Life to consider demutualisation

    13 Jan 2004

    Standard Life, Europe's largest mutual, is to consider demutualisation as part of a strategic review of its business model. The life office has concluded its discussions with the FSA and says figures for its returns for the year to November 15, 2003 will show a 9.5 per cent increase in available assets of £4.6bn compared to £4.2bn as at November 15, 2002.Standard Life chairman Sir Brian Stewart says: "Standard Life remains financially strong. However, we ...

  • Standard says financial position stronger than last year

    13 Jan 2004

    Standard Life says its financial position is "very strong in relative and absolute terms" and says its fund for future appropriations - a key measure of solvency - increased by 40 per cent last year.Standard says its fund for future appropriations increased to £4.5 bn for the year to November 15, 2003, from £3.2bn in the previous year.Standard Life chairman Sir Brian Stewart says: "The FSA is implementing a new approach to improve financial reporting for insurance ...

  • Standard will be better off as a plc say Wentworth Rose

    13 Jan 2004

    IFA Wentworth Rose believe Standard Life will be better off as a plc and that mutualisation has been the driving force behind its present problems.Wentworth Rose chief executive Philip Rose says today's action by Standard Life was inevitable. He says Standard Life "really got it wrong" on the equity market in 2002 and has eventually forced itself into this position through its own mistakes.Rose believes Standard Life will be better off as a plc than a mutual because ...

  • Standard won't talk about mutual benefits

    13 Jan 2004

    Standard Life will no longer tell its existing and prospective with-profits policyholders about the anticipated benefits of mutuality as it announces it is reviewing its mutual status. Following the completion of talks with the FSA, the life office has also announced future and existing with-profits policyholders will also face a charge to reflect any relevant guarantees on its books.It says while it intends to remain competitive in its bonus announcement, due on January ...

  • Swiss Life protection deal with Unum

    8 Jan 2004

    Swiss Life UK has closed to new business after an admin agreement with Unum Provident. Swiss Life UK's group income protection claims portfolio is now reinsured with Unum while Claims Services International, a Unum subsidiary, is administering the claims. Unum will become a Swiss Life network partner, meaning that Unum can provide group risk cover for the UK-based divisions of multi-national companies which have worldwide insurance arrangements with the Swiss Life Group. Swiss ...

  • Talkback

    8 Jan 2004

    Yes. I don't see why not. People read the press and they will get excited. Peter Streatfield, Complete Independent Mortgages Yes. But I don't think it will be that popular unless the stockmarket shows more improvement. John Hedden,Torridge Insurance Consultants "Possibly, the market is moving and people are getting more settled." John Bevington, McKinlay York "Yes, I think it will be more prosperous than last year. Confidence is returning to the market and ...

  • Technical and compliance discount for Sofa members

    9 Jan 2004

    Sofa has negotiated a 20 per cent discount for members on technical and compliance advice services provided by Technical Connection and Compliance Consultants.Technical Connection are offering their technical support for trust, tax and legal issues while Compliance Consultants are offering compliance advice at reduced rates.Sofa managing director Brian Lawless says: "This initiative offers Sofa members access to the type of reliable, independent, expert advice services ...

  • Thames River Capital - Garett Fund

    7 Jan 2004

    THAMES RIVER CAPITALGarret FundType: Hedge fundAim: Growth by investing long and short in investment-grade global government bonds and government-related bondsMinimum investment: $100,000. Euros 100,000, £70.000Investment split: 100% investment-grade government bonds and government-related bondsPlace of registration: Cayman IslandsCharges: Initial up to 5%, annual 1.5%Commission: Initial 3%Tel: 020 7360 1270

  • Thames withstands ebbs and flows of market

    12 Jan 2004

    Thames River capital has created a hedge fund of funds that will invest up to 33 per cent to seed new managers or start ups, enabling investors to benefit from the dividends of these companies.Thames River hedge + will be managed by Ken Kinsey-Quick, who joined Thames River in January 2003 as head of the multi-manager division. Kinsey-Quick also manages the Thames River distressed focus and Thames River warrior funds. He has 20 years' investment experience, ...

  • The dividend of the affair

    8 Jan 2004

    Company's position Pre-tax profit £10,000 Corporation tax @ 19 per cent £1,900 Net to distribute £8,100 (1) (1) Because the dividend is not deductible, the corporate tax liability for the company remains at 19 per cent, that is, £1,900, so £8,100 is available for distribution. Shareholder's position Shareholder receives £8,100 Grossed up by 10 per cent £900 Taxable £9,000 (1) Less ...

  • The Exchange launches new service with Life Policies Direct

    12 Jan 2004

    The Exchange is launching a new comparative quote and transaction service that caters for IFA call centre operations.The service has been developed with protection IFA Life Policies Direct.

  • The Miles file

    8 Jan 2004

    After three gruelling years in the equity market, investors do have something to celebrate in 2004. As I write in the final week of December, the FTSE 100 index is on course to finish the year in positive territory. The last time that savers enjoyed any gains from the London stockmarket was in 1999. In fact, the blue-chip benchmark index peaked on New Year's Eve of that year, propelled to the giddy heights of 6,930 by the investor craze for technology and telecoms stocks. The 11 ...

  • Thompson's Group appoints AWD chief operating officer

    9 Jan 2004

    Thompson's Group is appointing German financial adviser firm AWD's chief operating officer Friedemann Derndinger as chairman for the business's UK arm.

  • Tigue elected to AITC board

    13 Jan 2004

    Jeremy Tigue has been elected to the Association of Investment Trust Companies board. Tigue is manager of foreign & colonial investment trust. Tigue replaces Ewen Macpherson who has retired by rotation in accordance with the AITC's articles.The AITC has also re-elected Richard Burns, chief investment officer at Baillie Gifford & Co and investment trust director John Evans.

  • Wait before recommending Standard says Wentworth Rose

    9 Jan 2004

    IFAs should not recommend putting clients into Standard Life with-profits products until the issue of the FSA investigation into its financial strength calculations has been resolved, says Wentworth Rose managing director Philip Rose.Rose says IFAs should beware a repeat of the Equitable Life situation where clients continued to go into the life office after initial solvency warnings had been raised.Rose says: "This is the worst of all possible situations, with Standard ...

  • Wallowing in a hippo year

    8 Jan 2004

    After a year in which investor sentiment improved and stockmarkets climbed, it is tempting to suggest that the most savage bear market for decades is finally over. But is it really? Characteristically, fund managers have failed to reach any kind of consensus and have this time even devised a new met-aphor to describe the current investment environment - a hippo market. Jupiter chief investment officer and undervalued assets fund manager Edward Bonham Carter believes hippos are ...

  • Why menu is a positive move

    8 Jan 2004

    It may seem like a long time ago but cast your mind back to CP121, CP166 and remember that the outcome following Aifa's recommendations was the agreement to explore the concept of regulated distributors providing clients with a clearly defined menu of services which would be adopted under the FSA. The menu would identify which sales channel the adviser represented, highlighting levels of service and remuneration. Why a menu? Well, such a mechanism would clearly support one of ...

  • WP policyholders will get windfalls, says Cizdyn

    13 Jan 2004

    Standard Life's with-profits policyholders will get substantial windfalls in the likely event that it demutualises, according to insurance analyst Roman Cizdyn.Unlike Ned Cazalet, who says there will be no windfall bonanza, Commerzbank analyst Cizdyn believes policyholders - especially those in Standard's with-profits fund - will see substantial windfalls from any demutualisation.But he does not expect the life office to continue to attract much newbusiness, ...

  • Zero tolerance

    8 Jan 2004

    There will be so many mergers and acquisitions within the financial services industry that the Mergers and Acquisitions Commission will launch an inquiry just before it is merged with the Acquisitions and Mergers Board. It will subsequently be acquired by the Monopolies Commission. There will be a busy Isa season, with the top sellers being funds of zeros as people rush to buy them after seeing good 12-month figures. Money Marketing announces a glittering awards dinner for fund ...

  • Zurich chief Leitch to retire after 33 years with group

    8 Jan 2004

    Zurich Financial Services UK chief executive Sandy Leitch is to retire in the spring. Leitch, 56, is also chief executive for the Irish, South African and Asia Pacific businesses and has been with the group for 33 years. He started as an IT designer with Allied Dunbar and become Dunbar chief executive, later leading British American Financial Services (UK and International). He joined Zurich in 1998 when it merged with the financial services arm of BAT Industries. He was chairman of ...

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