Money Marketing
8 October 2003

  • 'I won't make the same mistakes'

    9 Oct 2003

    Premier Asset Management's new UK smaller companies fund manager Alastair Currie is promising not to make the same mistakes he made at Edinburgh Fund Managers during the technology boom. He was among the top-performing managers in the 1990s but came to grief when the tech bubble burst, leaving his fund, which was massively overweight in media and tech stocks, languishing near the bottom of performance tables. In the three years to February 2003, when he was made redundant, Currie's ...

  • 'Menu system details will be early Xmas present'

    9 Oct 2003

    The long-awaited final details of the menu payment system will be released as an "early Christmas present", FSA head of retail projects David Severn told a round table of industry leaders last week. The comment came during a discussion on the future of IFAs in the UK hosted by fee-based IFA True Financial Planning and marketing firm CCHM. Developed by providers and Aifa, the menu is seen as the replacement to the FSA's defined-payment system outlined in January 2002. However, ...

  • 'Only three business models set to survive depolarisation'

    9 Oct 2003

    FSA head of retail projects David Severn has told a group of industry leaders that although depolarisation will allow scope for a myriad of possible business models, only three are likely to be viable. He believes the three business models set to be most successful are fee-based financial planning, multi-tied distribution and direct salesforces. The comment came during a round table discussion on the future of the IFA community, hosted by IFA True Financial Planning and marketing ...

  • 'Relax rules to encourage fund mergers'

    9 Oct 2003

    The FSA should relax rules surrounding fund mergers to encourage firms to cull their increasingly bloated product ranges, according to Jupiter joint chief executive Edward Bonham Carter. Speaking at the IMA conference in London this week, Bonham Carter said there are a huge number of underperforming funds cluttering the market, many of which duplicate one another. To combat this "disease", he suggested the regulator could consider ways to ease regulation that discourages firms ...

  • 'Sellers still achieving the asking price'

    9 Oct 2003

    Brokers says September saw a lot of activity in the housing market, with supply and demand starting to reach similar levels. Their experiences tally with the 1-1.5 per cent rises in house prices reported by Nationwide and Halifax. Chadney Bulgin partner Tom Chadney says most sellers are still achieving their asking price or near it. Hill Martin mortgage executive Steve Smith says, although the market is fragile, prices are holding and there seems to be little fear of imminent house ...

  • 'Solve pension crisis before next election'

    9 Oct 2003

    Labour MP and former welfare reform minister Frank Field has called on the Government to produce a solution to the pension crisis before the next general election. Speaking at last week's Labour party conference, Field said pensions will be a front-running election issue and if the Government is to pull through, it has to admit that most of what it has done in the long run is wrong and not sustainable. His heaviest criticisms were levied at means testing, describing the Government's, ...

  • 'Split-cap rules could bring new misselling claims'

    9 Oct 2003

    Lawyers are warning that the FSA's new rules for split-cap investment trusts could lead to further misselling claims. The rules are part of the FSA's new codes for investment companies which are designed to increase the information and protection available to investors. Managing director Michael Foot says the rules aim to reduce the risk faced by consumers making investments, such as zeros, which they may not fully understand. He says the changes will ensure that clearer ...

  • £30k incentive for delaying pension

    9 Oct 2003

    Pensions minister Andrew Smith has promised lump sums of up to £30,000 for people who delay retirement until 70. The incentive is part of the Department for Work and Pensions' strategy to encourage people to work longer while leaving the normal retirement age at 65. The policy initiative, set out in Smith's speech to the Labour Party conference in Bournemouth last week, was first mooted in the DWP's Pension Green Paper published last December. Single pensioners ...

  • 100% loans from Leeds & Holbeck

    9 Oct 2003

    Leeds & Holbeck Building Society is offering two 100 per cent mortgages. The first is fixed at 5.49 per cent for three years. The early repayment fee is six months' interest in the first year, five months in the second year and four months in the third year. The second is a three-year loan at the society's variable rate plus 0.5 per cent. The early repayment fee is six months' interest in the first three years. There are no application or completion fees and free ...

  • 19 firms in default

    9 Oct 2003

    Nineteen firms have been declared in default by the Financial Services Compensation Scheme. The FSCS says defaults, where firms are unable to pay compensation claims through insufficient assets, insolvency or because they have ceased trading, are rare but underline the importance of the scheme. Declaring a company in default opens the way for any investor who has lost money with that firm to claim compensation of up to a maximum of £48,000. The FSCS became the single ...

  • A consumer's view

    9 Oct 2003

    The recent fine imposed on Lloyds TSB for misselling unsuitable extra income and growth plans to unsophisticated bank customers calls into question the whole thrust of regulation. If fining financial institutions worked, then presumably after the pension misselling debacle, when household names such as the Pru were heavily penalised for misselling personal pensions as long ago as the early Nineties, we would not have recently seen Lloyds TSB in the dock. The penalty of £1.9m ...

  • A licence to launder money

    9 Oct 2003

    My wife is a money launderer. Her main income derives from the export of cars stolen in the UK and sold abroad. She also does a bit of drug importing as a sideline. As a result, of her success in these activities, we have managed to build up a fair amount of dosh. This is very good really as I am an IFA and can easily invest the money. Inevitably, certain connections know of our employment and, to tell the truth, I am not sure who of us is most despised - me for being an IFA or my wife ...

  • Absolute adds share classes on hedge Fof

    9 Oct 2003

    Absolute Fund Managers is launching three new fund classes in its open-ended single fund of hedge funds specifically for the intermediary market. The new share classes are dollar, sterling and euro-denominated shares with a minimum investment of £60,168 ($100,000), although intermediaries can aggregate smaller individual investments. The shares carry a front-end charge of up to 3 per cent commission, with trail of 0.5 per cent a year. The manager's performance fee has ...

  • Axa takes slice out of with-profits bonuses

    9 Oct 2003

    Axa Sun Life is cutting with-profits terminal bonus rates but will leave regular and interim rates untouched. The company announced this week that the cuts will apply to life and pension products invested in the Axa Sun Life with-profits fund and pension products and conventional life products invested in the Sun Life Assurance Society with-profits fund. The payout on maturity of a typical endowment policy will drop by 6 per cent and a personal pension plan by 4 per cent. The market ...

  • B&B's Rennison's elected vp of CII

    8 Oct 2003

    Bradford & Bingley's group financial services director Roderic Rennison has been elected vice president of the Chartered Institute Rennison has been with B&B since May 2001 and is responsible for relationships with financial services providers, development of investment, life and pension products and B&B's strategy relating to financial services and personal financial planning.He is a former Sofa board member, and previously worked at retail markets and products ...

  • Bankhall in link to offer legal services

    8 Oct 2003

    Bankhall is offering member firms specialist employment law and health & safety consultancy services through a deal with Citation. The service is designed to enable firms to maintain a compliant working environment and human resources structure.

  • Base rate held at 3.5 per cent

    9 Oct 2003

    The MPC voted to keep the base rate at 3.5 per cent, the third freeze month since July. Word in the City has been pointing towards a rise before the end of the year however some are sceptical.Charcol senior technical manager Ray Boulger says: "The City is predicting at least one base rate rise by the end of this year with more to come next year, but we'd advise people not to hold their breath. We expect base rate to remain close to 3.5 per cent until well into next year."

  • Be top of the heap in New York prize draw

    9 Oct 2003

    It's up to you! The winner of our Sterling Protected Profits Funds competition will be jetting off to the city that never sleeps. On arrival at JFK, you and your partner will be whisked away by limousine to a top New York hotel where you will be staying for the next three nights. Your time in New York will be your own. You can soak up the culture or shop until you drop in retail heaven. If you want to be a part of it, all you have to do is answer three questions about the Protected ...

  • Biggest multi-tie survey shows emerging divide

    9 Oct 2003

    Only 630 out of more than 10,000 IFAs say they would "strongly consider" going multi-tied post-depolarisation while 5,249 are determined to hang on to their independence. A Money Marketing survey representing the biggest focused sample of the core IFA community also reveals that 4,374 IFAs say they might consider going down the multi-tied route. Of those who responded, 6.1 per cent said they would strongly consider multi-ties, 42.7 per cent said they might consider them and 51.1 ...

  • Blair puts hold on pension tax paper

    9 Oct 2003

    Publication of the Inland Revenue's pension taxation simplification paper has been put on hold by the Prime Minister after top business leaders warned him that the £1.4m lifetime limit would cut most senior executives out of pensions. The Revenue paper will now come out "before the end of the year". Some insiders suggest, though, that it could come in the pre-Budget report. The Whitehall tussle is raising industry concerns that A-day - currently planned for April 2005 ...

  • BM set to shake up mortgage market

    9 Oct 2003

    BM Solutions is this week set to announce technology that it says will give brokers a true virtual offer subject only to valuation. The specialist lender has been tantalising the market for weeks, promising a revolution in the mortgage market along with the death of the postbox. Public relations manager Matt Grayson is keen to stress that the new technology will be more than a standard decision in principle, revealing that in most cases, a definite decision without the need for ...

  • Brokers applaud honesty and move to invest own cash

    9 Oct 2003

    IFAs have applauded Alistair Currie's admission that he made mistakes while running EFM's smaller companies fund, saying his contrition has won him respect in the industry. Currie said he regretted allowing his fund's tech position to balloon to more than 50 per cent of the portfolio. Never again would he lose the discipline to restrict his emerging companies holdings, he said. His comments have been welcomed by IFAs, who say it is rare that a fund manager admits making ...

  • Brokers outline five points to aid Abbey challenge

    9 Oct 2003

    Here is the letter from some of the UK's leading mortgage brokers who have issued a challenge to Abbey chief executive Luqman Arnold to provide better service to intermediaries. The letter outlines five points which the brokers feel Abbey needs to address if it has any chance of launching a significant challenge to HBOS' dominant position in the mortgage market. It has been sent to Arnold and the industry awaits a response with interest.

  • C&G mortgages track base rate

    9 Oct 2003

    Cheltenham & Gloucester has unveiled a new range of tracker mortgages which it claims are viable alternatives to fixed-rate deals. Homebuyers borrowing up to 90 per cent of valuation can take out a mortgage which tracks the Bank of England base rate plus 0.59 per cent while the rate for loans between 90 and 95 per cent of valuation is base rate plus 0.89 per cent until December 31, 2007. Clients borrowing over £100,000, subject to a maximum of 90 per cent LTV, can track ...

  • Clerical plea over price cap on child trust fund

    9 Oct 2003

    Clerical Medical is calling for the Government to allow enough room in the price cap it applies to the child trust fund to ensure providers have the money to market it and make it a success. The move follows research by the Department for Work and Pensions, entitled Savings and Life Events, which states that having children reduces the likelihood of saving with each additional child. Clerical Medical industry affairs manager Stewart Mason believes this will reflect on the CTF's ...

  • Close Bros buys Nelson

    9 Oct 2003

    Close Brothers has bought Chester-based wealth manager Nelson Money Managers in a move which significantly bolsters CB's private-client subsidiary Close Wealth Management. The deal, for an undisclosed amount, will see NMM, which runs more than £900m, boost CWM's assets under management to around £1.2bn and expand its client base to 17,000 from 2,000, placing it in the top 30 wealth managers. As similar businesses, there is not expected to be much rationalisation, ...

  • Company confidence at its highest for four years

    9 Oct 2003

    Confidence among financial services companies is higher than at any time in the last four years, according to the latest quarterly survey by the CBI and PricewaterhouseCoopers. Forty-four per cent of businesses surveyed said they were more optimistic about the business situation than three months ago while 7 per cent were less optimistic. The balance of plus 37 compares with plus eight for the previous quarter and is the best since June 1999. For the first time in two-and-a-half ...

  • Conservatives vow to scrap means testing

    9 Oct 2003

    The Conservatives opened their annual conference in Blackpool this week with a pledge to scrap means testing for pensioners and introduce pensions linked to earnings if they are re-elected to office. The party is sticking firmly to its pension strategy as a vote winner, leading the conference with a policy to raise state pensions. Speaking at a Scottish Life/Money Marketing fringe meeting called, How To Make Pensions Simple, Shadow pensions minister Oliver Heald outlined plans ...

  • Consumers' Association accuses FSA of apathy on endowment shortfalls

    8 Oct 2003

    The Consumers' Association is accusing the FSA over apathy on endowment misselling and demanding it acknowledge that consumers need help with claims and that misselling was widespread.Online research carried out by the Consumers' Association shows 72 per cent of consumers surveyed who rejected compensation did not then take their complaint to the Financial Ombudsman Service.Consumers' Association head of campaigns Louise Hanson says: "While it is good to see the ...

  • Correspondent's week

    9 Oct 2003

    Monday morning, like all Monday mornings, is spent answering readers' letters. I get through 27 before 1pm, which makes a decent inroad. They are all about with-profits. Again. Lunch, for once, is on me. I am treating a disgruntled Nationwide branch employee in the hope that she will blow the whistle on all sorts of dreadful goings-on at the world's holiest mutual. Sadly, she is not the deep throat of my dreams. But at least the food at Maggie Jones, off Kensington Church Street, ...

  • Countrywide Assured upgraded

    14 Oct 2003

    Justin Bates at Numis Securities has upgraded his forecasts for Countrywide Assured for 2003 and 2004 by 12 per cent.Reasons for the upgrade are strong housing transactions in Q2 2003 and Q3 2003, along with cost reductions from headcount reductions. Bates also sees opportunities in the Spanish estate agency venture.

  • Deal takes mortgage trading system to 30,000 users

    9 Oct 2003

    The Mortgage Trading Exchange is integrating its systems with network The Mortgage Operation, which it says will increase its share of the introducer market to over 70 per cent. The agreement brings a further 2,000 intermediaries to the Mortgage Trading Exchange on top of the 3,000 brought in last month from a deal with Marlborough Stirling's The Exchange. The electronic sourcing system says it now has 30,000 users. Alliance & Leicester, Halifax, Nationwide and Northern ...

  • Digest

    9 Oct 2003

    Behind Hampton International Mortgages managing director Kevin Duffy's suave exterior lies a shameful secret. Kevin is a clandestine Abba fan, as the Diary discovered when it took a chance and went along with Duffy to see Abba extravaganza Mamma Mia on the West End stage. The Diary has since had disturbing visions of the super-trouper dressed in skintight flares and glitter, feeling the beat from the tambourine. There must have been something in the air that night, though. "It's ...

  • Do clients a good churn

    9 Oct 2003

    At the close of my last article, I promised that I would start to look at the usually touchy subject of churning. When I submitted that article, I telephoned the features editor to ensure she was aware that I would be discussing churning in the best possible interests of clients and not from a viewpoint of churning for repeat commission. "On your head be it," was the reply, so here goes. I will start by looking at the churning of lump-sum investment before moving on to pensions and ...

  • DWP 'extending misery' by delaying consultation on final-salary wind-ups

    9 Oct 2003

    The Department for Work and Pensions is facing criticism for delaying consultation on the revised priority order for final-salary scheme wind-ups. The DWP announced the consultation in June but is unable to say when draft regulations will be published. Currently, when final-salary schemes are wound up, benefits are paid in full to retired members before anything is paid to pre-retired members. The rules have led to non-retired members of wound-up schemes such as ASW and Blyth & ...

  • Endowment redress 'could reach £3bn'

    9 Oct 2003

    Compensation for mortgage endowment misselling could be as high as £3bn, says independent insurance analyst Ned Cazalet. But he warns that life companies, including some big names, have failed to reserve adequately for misselling costs. Cazalet believes that around 90 per cent of the UK's 10 million mortgage endowment policies are on track to fall short. In a Cazalet Consulting report entitled, Caught Short, Mortgage Endowment Shortfalls, he estimates that if all mortgage ...

  • Exchange loses out as Towry Law defects to Assureweb

    9 Oct 2003

    One of the country's biggest IFAs has dropped The Exchange in favour of Assureweb for illustrations and submitting new business applications electronically. Towry Law was one of the biggest and earliest adopters of The Exchange's technology and last week it closed the deal with Assureweb. Rollout of the new platform will take place throughout its branches in the next month. Towry Law director of strategy Charles Levett-Scrivener says that initially the firm will enjoy considerable ...

  • Exclusive tracker from Savills

    8 Oct 2003

    Savills Private Finance has launched an exclusive stepped discount tracker with a current pay rate of 3.24 per cent. The product tracks the Bank of England base rate minus 0.26 per cent for the first year, and in the second year tracks it minus 0.16 per cent. It then reverts to base rate plus 1.50 per cent for the life of the loan. There are no early redemption penalties at any time.Managing director Mark Harris says: "We are delighted to offer this exclusive and highly competitive ...

  • Fears that UK investors may shun equities

    9 Oct 2003

    There is a danger that UK investors could shun equities following changes to the US monetary regime which leave American investors with tax bills half those of their British counterparts, according to Stoy Hayward. US investors will now pay no more than 15 per cent on dividends and capital gains on shares held in UK companies. UK investors, however, will continue to pay 32.5 per cent on dividends and up to 40 per cent on capital gains, prompting fears that they will turn their ...

  • Fidelity changes fund manager

    14 Oct 2003

    Fidelity's global focus fund manager Brenda Reed is taking over its managed international fund in a bid to minimise the style divergence that has hampered its performance. The fund will retain a growth disposition but Reed, who will focus on mid caps, will seek to ensure it is not as extreme as in the past. Richard Haberman, who has managed the fund since 1997, will continue running other portfolios.

  • Fidelity makes multi-manager debut

    14 Oct 2003

    Fidelity has finally unveiled its multi-manager fund of funds after two years spent preparing and testing pilot portfolios.Richard Skelt will manage both the Fidelity multi-manager growth portfolio and Fidelity multi-manager income portfolio. Skelt and his team already run the Fidelity wealthbuilder, moneybuilder global and wealthbuilder target funds.Fidelity multi-manager income portfolio is designed mainly for income although there will be some potential for capital growth. ...

  • Field again brings in Bill for wind-ups

    9 Oct 2003

    Former welfare reform minister Frank Field will once more propose an amendment to the priority in pension scheme wind-ups, a Private Member's Bill that was killed off by the Government in March. The Bill is part of his call for the Government to produce a solution to the pension crisis before the next election. Speaking at last week's Labour Party conference, the Labour MP reasserted his position that equal rights needed to be provided to both retired and non-retired members ...

  • Figures paint true multi-tie picture

    9 Oct 2003

    It is time for some hard and fast numbers on depolarisation and what IFAs are going to do. For the first time, Money Marketing has used its own circulation to find out who among you would, would not and might multi-tie. Of course, not all of you chose to answer either because you do not know, you do not care or it is not your choice but the raw numbers demonstrate that 5,248 definitely want to stay independent, 4,374 may consider multi-tying and just 630 can't wait to jump at the chance. Thes

  • First State targets global resources

    9 Oct 2003

    First State Investments is rolling out a global resources fund in a bid to replicate the success of the highly-rated version offered by its Australian parent company. The fund, benchmarked against the HSBC Global Mining index, will mirror the investment philosophy, process and stock selection of the £330m Colonial First State global resources fund, which has returned 237 per cent over five years. The new fund will be run by the lead manager of the existing fund, David Whitten, ...

  • Francis slams top bodies for failing to agree on price cap

    9 Oct 2003

    ABI director general Mary Francis has criticised the Treasury and FSA for publically disagreeing over such an important issue as the price cap. Speaking to Money Marketing last week, Francis said there needs to be agreement on an issue as fundamental to the future of the savings industry as charging structures. She said the Treasury must address the question of whether price caps are an appropriate way forward but she also stressed that the shape of the cap is as important as its ...

  • Friends appoints Activ MultiManager head

    13 Oct 2003

    Friends Provident is appointing Exeter Fund Managers head of marketing Philip Thitchener as manager of its Activ MultiManager proposition for corporate pension funds.Thitchener will be responsible for selection and monitoring of funds and investment partners for the Activ MultiManager range.Friends Provident head of pensions marketing Jeremy Ward says: "Philip brings valuable investment marketing experience at a time when investment propositions in pensions are changing ...

  • Friends to axe DSF in shift to IFAs and ARs

    9 Oct 2003

    Friends Provident is set to shut down its 380-strong direct salesforce to adapt to depolarisation. It is carrying out a review of its UK distribution, which is likely to see the DSA scrapped and the emphasis put on IFA sales and an appointed representative channel. Half of its advisers will be offered the chance to move to AR status. Friends says it is aiming to align its sales strategy to the market and increase efficiency. It expects the regulatory changes to create new types ...

  • FSA may use tolerance for sourcing systems

    9 Oct 2003

    The FSA is considering tolerance for sourcing systems following discussions with the Association of Mortgage Intermediaries and figures from the industry. While the AMI believes that penny accuracy should be the eventual goal of lenders and sourcing systems, it is asking the FSA for tolerance if this cannot be guaranteed by regulation next year. Sourcing systems are warning that if penny accuracy is enforced, systems would have to be changed which would result in significant costs ...

  • FSA slashes application fees by half for small companies

    9 Oct 2003

    The FSA has slashed application fees for mortgage and general insurance firms in the face of concerted industry pressure, reducing by half the amount that small firms will have to pay. In finalising application fees for mortgage and general insurance firms looking to become authorised by the FSA, an additional fee band has been created to cover firms earning between £1m and £3m in gross annual advances. Firms in that bracket will now only have to pay £4,000, reduced ...

  • FSA stats reveal PI crisis casualities

    8 Oct 2003

    Latest figures from the FSA show that 32 firms were de-authorised by the regulator due to professional indemnity insurance problems between June and August. This figure is up from 17 firms de-authorising due to PI issues for the period March to May 2003, although the FSA claims figures for these months may not fully reflect all firms de-regulating under these conditions for the period.

  • FundsLibrary stacks its shelves with 370 funds

    9 Oct 2003

    Hargreaves Lansdown's FundsLibrary database has signed up 19 investment houses with 370 funds in what the IFA says is a major step towards creating an industrywide platform. Fidelity, New Star, M&G, Schroders, Jupiter and Gartmore are among the firms pledging to provide FundsLibrary with fund data, giving compliant fund documentation from one source. HL is now targeting fund supermarkets and stockbrokers as it seeks a wide user base for the platform, which it plans to launch ...

  • Gay couples get pension payments

    9 Oct 2003

    Pension schemes will be required to treat same-sex couples in the same way as married couples from December, when the UK adopts new EU rules. The regulations prohibit discrimination in employment on the grounds of sexual orientation for the first time in the UK. The implementation of the Employment (Sexual Orientation) regulations mean occupational pension schemes currently paying out benefits to common-law partners will have to make equivalent payments to same-sex partners. Schemes ...

  • Gerrard hook deal for rugby wealth

    8 Oct 2003

    The Professional Rugby Players Association has signed a two year partnership with private client wealth manager Gerrard Limited.The deal sees Gerrard become the official wealth management partner of the Association, providing investment management advice to its players and managing the funds of the newly created charity, the PRA Benevolent Fund.PRA chief executive Damian Hopley says: "We are delighted to have joined forces with such an outstanding performer ...

  • Great Scott!

    9 Oct 2003

    While travelling in the Lake District with his wife and young children, Aegon head of public affairs Scott White stumbled across a little shop selling souvenir drink coasters. Scott couldn't resist and bought one each for his team back in Edinburgh. Perhaps it was the appropriateness of the message on the coasters which clinched the sale. Surely, a more accurate description of Scott there never was. Good looking, bright, relaxed, friendly to be with - never did words ring more ...

  • HBOS in external fund move with no-load shake-up

    9 Oct 2003

    HBOS is offering a no-load investment range managed by external fund managers, as revealed exclusively in Money Marketing in July. The new fund range, available through Bank of Scotland Investment Services, will int-roduce 10 new funds from Schroders, Newton and UBS. Annual charges range from 0.8 per cent to 1.65 per cent. Minimum premium is £100 regular and £3,000 single. HBOS says this is the second stage of its strategy to shake up investing following its launch ...

  • Hedge savings plan from Platinum

    9 Oct 2003

    Platinum Wealth Management has developed the UK's first regular savings plan investing in hedge funds. The plan targets high-networth clients with previous hedge fund experience and provides access to four funds - platinum all weather, equity plus, Washington and Turnberry. Platinum equity plus is a multi-manager fund of funds while the others are single hedge funds. Minimum investment is £150 a month or £1,200 a year. Managing director Craig Reeves says: "We ...

  • Home economics

    9 Oct 2003

    Top of the list has been the issue of house prices and their impact on economic activity. Of special interest has been the impact on consumer confidence and thus expenditure patterns. Given the importance of this dynamic in driving economic growth, this is hardly surprising. The dichotomy of the economic benefit of consumer expenditure on the one hand and the need to improve saving to close the savings gap on the other has been well documented. Given that most only have a limited amount ...

  • Ian Muirhead: The case for financial advice

    9 Oct 2003

    In the first article of a series on how IFAs can build up professional business connections, Ian Muirhead, of Solicitors for Independent Financial Advice, looks at lawyers. Law firms present a superb platform for the provision of financial advice because clients trust their solicitors and solicitors are involved at most of the turning points in their clients' lives at which financial planning is likely to be required: ?When wills are being written and trusts are being ...

  • IFA co-op offering network-style deal

    9 Oct 2003

    An IFA co-operative is being launched with the backing of Bankhall which offers network-style services and an equal ownership stake to member firms. The initiative, called Trinity House Group, will launch next week with six firms and 22 advisers but is aiming to grow to 250 RIs within five years. Members of the new group will have access to Bankhall facilities such as IFA Engine, compliance and investment services. THG directors say it will stand apart from other IFA networks and ...

  • In defence of recruiters

    9 Oct 2003

    I read, with a mixture of annoyance and astonishment, the article in Money Marketing by Hargreaves Lansdown managing director Peter Hargreaves. As a fellow human being, an ex-IFA and now director of a successful niche IFA recruitment consultancy, I took issue with almost everything Hargreaves had to say and how he said it. I do not believe I am the only one to have read this angry diatribe with such emotions. I do not propose to respond to the tone of language used, disappointing ...

  • Independent view

    9 Oct 2003

    Reading through a Car Club magazine recently, I came across an article headlined, Grandma Knows Best, which, at first glance, seemed to be more than a little out of context. The feature recounted the tale of a customer complaint following an engine rebuild by a reputable specialist. The saga led to the whole process being carried out twice more due to the car vibrating itself apart once fully reassembled by the owner. Given the specialist nature of those vehicles emanating from Newport ...

  • Inside edge

    9 Oct 2003

    Last year, according to ABI statistics, the market for protection products increased by about 26 per cent. Over the first half of this year, our own protection business was 53 per cent higher than the same period last year. These are pretty big increases and you can be sure that most life offices were not able to increase their staffing levels by these amounts and that service levels have been affected. We understand and acknowledge the pain (both for customers and IFAs) that industry ...

  • Insight merges RAM funds

    13 Oct 2003

    Insight Investment is merging several Rothschild Asset Management funds into its own Oeic range following a strategic review of the business. Insight says the improved economies of scale resulting from the move will mean lower expense ratios, potentially improving performance. Investors will also have more options, it says, with additional income and accumulation share classes.

  • Intermediaries cautious on home information packs

    10 Oct 2003

    Sixty-two per cent of intermediaries believe home information packs will speed up the house buying process according to a recent survey by outsourced process manager xit2.But 50 per cent think the system will create too much administration and 38 per cent believe it will depress the market.Xit2 managing director Paul Duckworth says: "It seems the industry has mixed views on how home information packs will impact the house-buying process. The packs will be resource-intensive ...

  • Investment analysis

    9 Oct 2003

    It was a volatile week for world equity markets, with investors locking in profits prior to the end of what was another highly profitable quarter. However, share prices resumed their upward path on Thursday and Friday on the back of further encouraging economic data from the US. Over the week, the FTSE World index gained 3.5 per cent. In the US, stocks initially fell, with profits being banked following the market's recent strong run. However, sentiment improved markedly towards ...

  • Investment firms unite to improve Euro credit market

    9 Oct 2003

    Barclays Global Investors, Gartmore and M&G are spearheading a major campaign backed by 26 investment companies to improve standards in the European credit market. The companies, also including Hermes, Newton and Standard Life Investments, believe the European debt capital market would benefit from a number of proposals outlined in a consultation paper. These include minimum covenants for corporate issuers, more rigorous documentation standards, improved disclosure and better liquidity. They

  • Investment view

    9 Oct 2003

    Down in deepest Devon and Dorset I was charged with addressing intermediaries with how I felt markets might develop as the decade progresses. Little surprise there, you might think, but what was perhaps somewhat unusual was the subject on which my co-conspirator on the platform, HSBC Asset Management's local lad Nigel Edwards, was to deliver. Nigel prefaced my remarks with an exposition as to why the future was China. Most interesting it was too. Actually, it was not just China ...

  • Investors lose 81% in NDF structured plan

    9 Oct 2003

    The latest NDF structured product has matured, returning only a fraction of investors' original investment, with 81 per cent of original capital being lost. The NDF extra income & growth plan 3 product, sold in June and July 2000, reduced capital by 2 per cent for each 1 per cent the Eurostoxx 50 index closed lower than 25 per cent below the start date. The first 25 per cent fall in the index saw a one for one reduction in capital. Offering an income of 10.25 per cent, the ...

  • io silver debut

    8 Oct 2003

    io unit trust managers has unveiled its first fund, the UK income & growth fund, which will be run by former Gartmore head of UK retail funds, Tim Gregory.The fund aims to provide income and growth and has a target to outperform the FTSE All Share Index by 10 per cent. It will hold between 50 and 70 stocks which will have good management, strong balance sheets and the potential to grow, either organically or through acquisitions.The investment strategy will be adjusted ...

  • io unit trust managers - UK Income & Growth Fund

    10 Oct 2003

    IO UNIT TRUST MANAGERSUK Income & Growth FundType: Unit trustAim: Income and growth by investing in UK companiesMinimum investment: £1,500Investment split: 100% in UK companiesIsa link: YesPep transfers: YesCharges: Initial 5%, annual 1.2% in first year, thereafter 0.9-1.5% Commission: Initial 3%, renewal 0.4-0.65% Special offer: Initial charge reduced to 4%Offer period: Until October 27, 2003Tel: ...

  • IPD and ProACT Training to merge

    10 Oct 2003

    Training, consultancy and business development service providers Independent Professional Development and ProACT Training have announced their merger. The new organisation will retain the IPD name.

  • Isas reach breaking point

    9 Oct 2003

    The Treasury seems unlikely to reverse its decision to scrap the 10 per cent tax credit on equity Isas and Peps, despite intense lobbying from the industry. From next April, investors in equity income funds will begin to lose benefits which may have prompted them to invest in the first place. How much of an impact will this have? According to Bates Investment Services, more than £8bn is invested in UK equity income Peps and Isas, of which £6.63bn is in Peps and £1.45bn ...

  • Isis - Isis Portfolio Service

    10 Oct 2003

    Type: Portfolio management serviceAim: Income and growth by investing in two Isis multi-manager fundsMinimum investment: Lump sum £5,000, monthly £100Investment choice: Isis Multi-manager growth, Isis multi-manager balanced fundsIncome facility: YesCharges: Initial 5%, annual 2.5%Commission: Initial 3%, renewal 0.5%Tel: 0845 799 2299

  • Julian Gibbs

    9 Oct 2003

    While I was talking to some London IFAs about fund supermarkets, one IFA came up with a recommendation to use Transact, part of Integrated Financial Arrangements. This wrap is a much more convenient way of doing business than using fund supermarkets because Transact can hold and trade a much broader range of assets including unit trusts, Oeics, all stocks and shares quoted on the London Stock Exchange, offshore funds and hedge funds, whereas most supermarkets can include only a wide ...

  • Kensington launches marketing guide

    13 Oct 2003

    Kensington Mortgages has launched a guide to help mortgage professionals market their businesses. It looks at different marketing disciplines, such as advertising, direct mail and public relations, and highlights the costs involved.Director of marketing and strategy Alastair Pate says: "Kensington is helping intermediaries by producing a guide that cuts through jargon and helps explain how they can work more effectively to raise their profile and generate leads."

  • Kitchen at parties

    9 Oct 2003

    Chelsea Financial Services really is the all-singing, all-dancing financial services firm. The Diary has learned that not one but two staff at the King's Road IFA are in bands. Headlining at Chelsea's 20th birthday bash will be Remedy, fronted by press officer Ben "I'm the one with the big eyebrows" Larter. Also on the bill are The Long Trousers, featuring the wonderfully named finance director Perry Kitchen, with a covers set. Remedy are described as: "One of the best ...

  • Koralis thrills with no frills

    13 Oct 2003

    Newly-formed film production company Koralis Pictures is aiming to raise up to £2.5m to finance three low-budget action thrillers from Commando director Mark L Lester.Film Fund One is the brainchild of former IFA Heath Jones, who founded Koralis six months ago after meeting writer Bruce Fitzpatrick in Los Angeles. Fitzpatrick had secured a film deal for his prison novel, The Rules of the Game, when the company financing it went down with the World Trade Center on September ...

  • L&G offers Capital Protection Plus

    13 Oct 2003

    Legal & General is offering a new capital protection product offering potential growth whether the FTSE 100 rises or falls.The Capital Protection Plus has capital protection at the end of the six year term, with a minimum return of 18 per cent growth at maturity or 50 per cent of any growth in the FTSE 100 after this period, whichever is greater.Available from Monday October 20 to Friday December 12, the product has a minimum investment of £500 and a maximum of £7000 ...

  • Laying down law

    9 Oct 2003

    With no disrespect intended towards Phil Gammond (Money Marketing, September 25) - for the record, we are happy to earn fees or commission so long as we are paid for the time we put in - I too in the past have had a chap in to put some paving down. Rather than paying him fees, he suggested that his services would be free as long as I simply paid for the slabs. This I duly did, only to find that some time later a section was showing nasty subsidence. I called my chap back but was told ...

  • Left wing thinktank warms to Tory pension proposals

    9 Oct 2003

    Prime Minister Tony Blair's favourite thinktank has reluctantly endorsed the Opposition's latest proposals to raise the state pension and link it to earnings. Speaking at a Scottish Life/ Money Marketing fringe meeting at the Conservative Party conference this week, Institute for Public Policy Research economics research fellow Richard Brooks conceded that "many on the left are unhappy with the current situation" and that the moves should be in the most part welcomed. But ...

  • Lib Dem reshuffle sees Cable as chief Treasury spokesman

    14 Oct 2003

    A cabinet reshuffle by Liberal Democrat leader Charles Kennedy sees Vincent Cable become the party's new chief Treasury spokesman. Although Cable has strong links with the City he describes himself as more of a consumer champion who has stood up for Equitable Life policy holders and consumers missold endowment mortgages.

  • Life's a beach for pensioners

    9 Oct 2003

    Denuded of their pensions by archaic final-salary scheme wind-up rules, steelworkers from ASW stripped for the cameras on a chilly Bournemouth beach at the Labour Party conference. The strippers are demanding that the Government goes the Full Monty and compensates them for their lost pensions. The Diary hears that a calendar is in the pipeline.

  • Martyn Weaver

    9 Oct 2003

    Martyn Weaver and Bankhall, which he co-founded, have parted ways and he has moved from the 5,000-adviser giant and taken a number of staff with him to create new support services group Three Sixty. Weaver's background and route into financial services is rather surprising, given his mild manner. He is softly spoken and modest about a very varied career that has seen him establish one of the biggest IFA groups in the sector and one of the most important divisions of the FSA. He ...

  • Members support society merger

    8 Oct 2003

    Members have voted in favour of the proposed merger between Homeowners Friendly Society and United Kingdom Civil Service Benefit Society. Over 97 per cent of Homeowners' members voted in favour of the merger, and 96 per cent of UKCSBS also supported it. Subject to approval from the FSA the merger will therefore be effective on October 31, 2003.

  • Mortgages 'stressing millions' - Sainsbury's Bank research

    14 Oct 2003

    More than 6.3 million people have been made to feel ill by their mortgage according to new research from Sainsbury's Bank.The research also found 1.5 million people said that their mortgages had damaged their relationships with their partners and nearly 800,000 said it had affected relationships with friends and family. Sainsbury's Bank mortgages manager Lucy Hunter says: "It is important that people do not over stretch themselves when taking out a mortgage. However, ...

  • Multi multitudes

    9 Oct 2003

    Despite the expense and competition, increasing numbers of fund groups are entering the multi-manager arena. Is there room for dozens of fund of funds and manager of manager players or has the market already become too cluttered? Can new entrants break the hold of the main four or five established firms? Connolly: Over the long term, there is not room for a large number of players in this market. I would argue that there are already too many providers in an arena which is still far ...

  • New dawn for protection

    9 Oct 2003

    It is probably true to say that no area of personal finance receives more attention than the housing market. It is a recurring topic of conversation for many people and after the current prolonged period of rising house prices, it is no surprise that, with the possible exception of first-time buyers, most people are pleased to read or hear the almost daily news about the increased value of their properties. However, whether they are first-time buyers, movers or remortgagers, invariably, ...

  • New FSA chief warns against quick EU rollout

    13 Oct 2003

    The new FSA chairman Callum McCarthy believes the implementation of European financial market regulation may bring "severe stress" to the City in the coming years. His first speech as chairman cautioned that if the EU tried to roll out its full regulation too quickly, it could derail and become ineffective. He called on the EU to restructure the timetable to provide a more phased approach, saying: "The financial services industry faces, over the period of 2004-08, the task of implementing ...

  • New Pru bond throws with-profits investors a lifeline

    9 Oct 2003

    The Prudential is offering investors stuck in closed or underperforming with-profits funds a light at the end of the tunnel with a new with-pro-fits bond distributed solely through IFAs. The Prudence prospects bond has a higher up-front allocation rate to reflect the market value reduction suffered by investors coming out of existing funds. Investment and savings director Hugh McKee says people who have invested in with-profits bonds from other providers may now find themselves ...

  • New tracker mortgages from Yorkshire

    8 Oct 2003

    Yorkshire Building Society has launched three new tracker mortgages. The first, available for house purchase, is at Bank of England base rate minus 0.25 per cent for two years (initial rate 3.25 per cent). The second, for remortgage, is at base rate for two years (initial rate 3.50 per cent). The third is for house purchase and remortgage, and tracks the base rate plus 0.35 per cent for 2 years (initial rate 3.85 per cent).

  • No gain without pain for savers

    9 Oct 2003

    The relationship between the FSA and the Financial Ombudsman Service needs to be reviewed to halt a situation where the complaints body is making policy which differs from that of the regulator, according to ABI director general Mary Francis. In a wide-ranging interview with Money Marketing last week, Francis pointed to the Treasury's statutory review of the FSA next month, saying she does not expect much from it but hopes the FOS and FSA will re-evaluate how they function together. Francis .

  • Not really worth the six-hour wait

    9 Oct 2003

    Wait in a line for anything for six hours and you will want to make pretty damn sure you get something good at the end of it. A couple of hundred journalists, including me, did just that on the first day of this year's annual Labour party conference and all we got for our troubles was a little green dogtag from a Labour party press office that seems to view journalists as troublesome brats who need to be patronised or stonewalled, depending on their mood. The first day of the conference ...

  • Nvesta index-linked plan gives 8.25% income

    9 Oct 2003

    Nvesta has introduced an investment plan offering 8.25 per cent income over five years. The plan alternatively offers 0.65 per cent income a month for 60 months or 45 per cent capital growth. Minimum investment is £3,000, with bonuses available on investments of £25,000-plus. Returns are based on the performance of the FTSE 100 and S&P 500 indices. Nvesta says it will return capital in full provided neither index falls by more than 30 per cent from its initial level ...

  • Odey Asset Management - Treasury Hedge Fund

    13 Oct 2003

    Type: Hedge fundAim: Growth by investing in global currencies including gold, interest rates and related instrumentsMinimum investment: £100,000, $100,000Place of registration: Cayman IslandsInvestment split: 100% invested in global currencies including gold, interest rates and related instrumentsCharges: Annual 1.5%, performance fee 20%Commission: Subject to negotiationTel: 020 7208 1400

  • On the cutting hedge

    9 Oct 2003

    Hedge fund is a catch-all term for a wide range of different investment strategies. The first acknowledged hedge fund started in 1949 and had characteristics which are shared by many existing hedge funds. Some of these characteristics include: •Hedge funds seek to deliver absolute returns under all market conditions rather than performance relative to a benchmark. •The majority of hedge fund returns have historically had low correlation to traditional investment returns. •Hedge ..

  • Out of context

    9 Oct 2003

    •"I bent down too quickly to pick up a £5 note." - Prudential savings and investment director Hugh McKee on how his bad back was caused by his Scottishness. •"I am going to look like Big Bird dipped in red paint." - Schroders PR Susan Bell on her dress for a friend's wedding. •"Now I have gone, Ben is mutating into me." - Isis communications director Jason Hollands on the ambition of Hargreaves Lansdown's Ben Yearsley to become a Tory MP. •"The ...

  • Outside edge

    9 Oct 2003

    If we could put them all tog-ether in Twickenham they would still fill it - the nation's life & pension product salespeople. I include most IFAs in the category because this is where they belong unless they sell advice and most of them do not. There are only two kinds of salesperson. The ones that hate prospecting and the ones that lie about how much they hate prospecting. Both types have to sell to live. In the bad old days, they made a bob or two out of endowment mortgages ...

  • Pensions under fire

    9 Oct 2003

    For the first time in years, the Tories are landing blows on pensions. The move to remove means testing and to restore the earnings link has been welcomed in all sorts of strange quarters. The Institute for Public Policy Research, the centre left thinktank often regarded as Labour's ideas factory, told a fringe meeting at this week's Conservative Party conference that the Tories now have a weapon to attack the Government. Pensions are moving right to the top of the political ...

  • PMI Group buys R&SA business

    8 Oct 2003

    The PMI Group has acquired Royal & Sun Alliance's UK Lenders' Mortgage Insurance business. The portfolio covers approximately £9 billion of original insured principal value, about £1 billion of remaining risk exposure. The transaction is subject to regulatory and UK Court approval and the transfer of business is expected to take about six months.

  • Product matters

    9 Oct 2003

    The PAFS flexible care account combines a low-volatility investment account with nursing care insurance. The two elements run independently of each other, unlike previous packaged products, where the cover provided was linked directly to investment returns. I expect it will appeal predominantly to those people who are opposed to funding an insurance policy from which you get nothing back if no claim is made. The money within the investment account can be used for any purpose at ...

  • Pru in £3.6m push for with-profits

    9 Oct 2003

    Prudential is spending £3.6m on a two-pronged marketing campaign explaining the benefits of with-profits to IFAs and investors. The life office has devised a £1m With-profits in a Box initiative for IFAs which includes a with-profits "sales bible" that explains the product in a clear way, a revised set of information guides, a CD-Rom with an interactive selection tool and an extranet support service. Developments to the Pru's extranet service include in-depth technical ...

  • Reasonable doubt

    9 Oct 2003

    There have been a number of attempts to define misselling so I thought I would add my thoughts as follows: Suitability is proven where the recommended product or other arrangement when recommended was capable of achieving the client's objectives and, before proceeding, the client was aware of all reasonably foreseeable risks. To evidence suitability and to defend an accusation of misselling, the adviser must be able to evidence: •A clear agreement with the client as ...

  • Recruitment drive for quality

    9 Oct 2003

    Iread, with a mixture of annoyance and astonishment, the "independent view" of Peter Hargreaves, managing director of Hargreaves Lansdown, in a recent issue of Money Marketing. As a fellow human being, an ex-IFA and now director of a successful niche IFA recruitment consultancy, I took issue with almost everything that Mr Hargreaves had to say and how he said it. I do not believe I am the only one to have read this angry diatribe with such emotions. I do not propose to respond ...

  • Reid Between the lines

    9 Oct 2003

    The highlight of the Disney film The Jungle Book was the scene with the vultures where they could not decide what to do next. The scene starts with one vulture asking the others "What do you want to do?" The response from one is "I don't know, what you want to do?" This is then repeated several times until one bird interrupts with the plaintive cry of "What do you want to do, I don't know what do you want to do, what do you want to do...let's do something!" I was reminded ...

  • Richard Verdin on Protection

    9 Oct 2003

    Who's pulling all the strings in protection now? As I travel around the country rushing from meeting to meeting, I have started to wonder if am the only person worried about the future of the protection market? Don't get me wrong, I am not at all worried about the impending FSA regulation. The near-final rules appear pretty sensible to me and those that already have the systems and controls for complying with the FSA will simply fine-tune them. Others will use the change to embrace ...

  • Rooftop targets niche lending business

    8 Oct 2003

    A new specialist lender, Rooftop Mortgages, has been launched. Created by servicer Crown Mortgage Management, funding has been secured with a warehouse line from Bear Stearns. Rooftop Mortgages will initially offer a range of niche and adverse products through the intermediary market.

  • Royal London chief calls on Government to spell out stance on mutuality

    9 Oct 2003

    Royal London head of research and communications Gareth Evans has called for the Government to define its policy on mutuals, claiming it is sending out mixed messages to the industry. Speaking to Money Marketing, Evans says during sessions on mutuality at last week's Labour conference, Treasury Financial Secretary Ruth Kelly shied away from going into detail on her views of mutuals in financial services. Evans says a definition of the Government's policy is crucial because ...

  • Schroders - Schroder European Alpha Plus

    14 Oct 2003

    SCHRODERSSchroder European Alpha PlusType: Unit trustAim: Growth by investing in European companies excluding the UKMinimum investment: Lump sum £1,000, monthly £50Investment split: 100% UK companies excluding the UKIsa link: YesPep transfers: YesCharges: Initial 5.25%, annual 1.5%Commission: Initial 3%, annual 1.5%Tel: 0800 718 777

  • ScotEq aids IFAs with online quote system

    9 Oct 2003

    Scottish Equitable has launched a new online quotation system in an effort to make writing group protection and pension business easier for financial advisers. The service will include automatic emails to let advisers know when the quote is ready, including a brief summary of the quote and the rate and a direct link to the website. The site itself will include admin forms and supporting literature. ScotEq says the development will increase the speed that quotes are generated ...

  • Sesame moves quality control to India

    14 Oct 2003

    Following an increasing industry trend Sesame has moved its quality control unit to India in a bid to decrease the cost of regulation and compliance.The move effects investment and pension applications which will now be handled by Delhi-based workers. 116 Indian workers will now process around 750 life assurance, pension and unit trust applications.Sesame director of compliance Michael Cousins expects the sub-continent centre to be fully operational day the end of the year ...

  • Skandia - Protected Portfolio Investment

    13 Oct 2003

    Type: Capital-protected bondAim: Growth linked to the performance of the Schroder UK mid 250, Fidelity special situations, Norwich property trust and Invesco Perpetual corporate bond fundsMinimum-maximum investment: £5,000 -no maximum, Isa £3,000-£7,000Term: Five yearsReturn: Maximum protection option - 100% of the average growth in the basket of funds, strategic growth option - 200% of the average growth in the basket of fundsGuarantee: ...

  • Skandia announces two new senior appointments

    14 Oct 2003

    Skandia has made two new senior appointments with Aegon UK's Simon Lloyd becoming finance director and Cofunds' Laurie Jacques appointed to the new position of head of structured product sales.Lloyd is a chartered accountant who spent 13 years at Price Waterhouse in London, working mainly with the insurance sector. He has also worked for AXA before joining Aegon in 2000 as group finance manager. He replaces Simon Gordon.Jaques was director of sales for Cofunds, ...

  • Skandia tells income story

    13 Oct 2003

    SKANDIA INVESTMENT MANAGEMENTEquity Income FundType: Oeic fund of fundsAim: Income and growth by investing in equity income fundsMinimum investment: Lump sum £1,000, Isa/Pep transfers £10,000, monthly £50Investment split: Lazard UK equity income mandate 18%, Liontrust first income fund 18%, Merrill Lynch IM UK securities mandate 18%, Newton higher income fund 18%, SGAM UK equities mandate 18%, Martin Currie UK assets ...

  • Sun Bank launches new buy to let range

    10 Oct 2003

    Sun Bank is launching a range of buy to let products. It includes a two year fixed rate at 3.75 per cent and a 1.86 per cent discount until 1st October 2005. Both have redemption penalties of 5 per cent until 1st October 2006, followed by 4 per cent until 1st October 2007, and 3 per cent until 1st October 2008. Sun Bank says that in certain circumstances it is able to lend over 100 per cent of the purchase price of an additional new property, helping landlords to build their property ...

  • Surveys show steady rise in house prices

    9 Oct 2003

    The rate of growth in property prices is steadying, according to Halifax and Nationwide. Halifax's house price index rose by 1.5 per cent in Sept-ember following a 1.3 per cent increase in August. But it was down from a 4.8 per cent inc-rease in September last year. The bank says the average house price is now £135,958, up from £133,997 in August and £116,663 a year ago. Nationwide's house price index was up by 1 per cent last month compared with increases ...

  • Take cover

    9 Oct 2003

    Investment in the insurance sector continues to be compelling as the property/casualty sector, which excludes life companies, experiences the strongest conditions for a generation. Premiums have risen steeply as customers seek more cover to protect themselves after the World Trade Centre attacks and, as demand is outstripping supply, rates will remain high. The current property/ casualty upcycle began in 2000. Premium rates started rising and policy terms and conditions were tightened. ...

  • Talkback

    9 Oct 2003

    "No. I think people know the brands and will miss them." Ashraf Farag, Global Financial Services "No. They are good brands that IFAs and clients alike are used to." Tommy Frodsham, Frodsham & Partners "No. You are branding a life office the same as a mortgage company and that does not seem right." Craig Boyle, A Dunn & Co Financial Management "No. It is an absurd decision. Why replace two good IFA brands with Abbey?" Fraser Colquhoun, Fraser Colquhoun Independent ...

  • The Exchange launches specialist quote service

    10 Oct 2003

    The Exchange is launching a new quote service on IFA portal Exweb which includes products such as multi-benefit protection, long term care and pension drawdown.

  • The key facts of Life

    9 Oct 2003

    A collective sigh of relief was heard throughout the insurance industry after the FSA put its consultation paper on product disclosure on hold while it carries out a complete review of projection rates. Life companies have welcomed the delay which they hope will give the FSA more time to take in industry concern and tie in related regulatory issues to ensure that it does not have to amend procedures repeatedly with the attendant costs. CP170, published in February, was aimed at ...

  • Top loan brokers take Abbey to task

    9 Oct 2003

    Some of the top mortgage brokers in the country have united to send a letter to Abbey chief executive Luqman Arnold, challenging him to sort out his company's service offering and improve its relationship with intermediaries. Brokers have been widely disappointed by Abbey's recent rebrand, feeling that it did not address problems intermediaries have in dealing with the bank. They hope the joint letter, sent to Arnold by brokers from Savills Private Finance, Hamptons International ...

  • Training & Competence: Brass tax

    9 Oct 2003

    INCOME TAX Liability to income tax Individuals are liable to income tax on all their income, regardless of where it arises in the world. Of course, this rule does not necessarily apply to those who live outside the UK and there are also special rules for some people from overseas who live in this country but this is outside the scope of this module. People who are domiciled outside the UK but are resident in the country are in the very favourable position that they are only ...

  • Turn of phase

    9 Oct 2003

    I am 69 and still working but I have decided, with my employer's permission, to cut back to three days a week. I now need to take some of my personal pension benefits but I do not need it all and I also want to avoid paying too much tax. What should I do? You might decide to phase in your retirement benefits and quite legitimately not pay tax on some of the income. This can be achieved by using the tax-free cash element of your pension plan to supplement your income. Rather ...

  • Two-pronged strategy for IFA venture

    9 Oct 2003

    Ian Millward and Toby Strauss's national IFA venture will be split into two divisions targeting high-net-worth clients and those who want the choice between fees and commission. The pair have confirmed that John Scott & Partners, the private-client firm in which they have invested, is the platform on which they will build a financial planning arm to complement its existing fee-based operation. The offshoot will seek a broader client base, with investors who make initial ...

  • UCB Home Loans - Self Cert - 5 Year Flexible Fixed

    14 Oct 2003

    Type: Self-certified flexible fixed-rate mortgageFixed term: Five yearsFixed rate: 5.29%Minimum loan: £25,001Maximum loan: Up to 85% of valuation subject to a maximum of £350,000, up to 75% of valuation subject to a maximum of £500,000, up to 65% of valuation subject to a maximum of £750,000Income multiples: Up to 3.25 times principal income plus second or 2.75 times jointFlexible features: Overpayments, underpayments, ...

  • Unipass aims to sign 10,000 users

    13 Oct 2003

    Industry standards body Origo says its universal password system Unipass is on target to sign up 10,000 users by the end of the year.

  • White-labelled home cover from Select & Protect

    9 Oct 2003

    General insurer Select & Protect is targeting life companies, IFA networks and mortgage clubs with a white-labelled service enabling them to sell buildings, contents and mortgage payment protection cover. The service, which is being launched through Select & Protect sister company PlusOne Services, is aimed at companies which decide to become directly authorised under mortgage and general insurance regulation. A range of buildings, contents and mortgage payment protection ...

  • Woolwich flexes its muscles

    9 Oct 2003

    WOOLWICHOpen Plan 2 Year Flexible FixedType: Fixed-rate flexible mortgageFixed term: Until October 31, 2005Fixed rate: 4.49%Minimum loan: £5,000Maximum loan: Up to 95% of valuation subject to a maximum of £250,000, up to 90 per cent of valuation subject to a maximum of £500,000, up to 80% of valuation subject to no maximumIncome multiples: Up to 90% of valuation - 4 times principal income plus second ...

  • Work schemes set for transfer boost

    9 Oct 2003

    People transferring benefits out of occupational schemes are set for a 20 per cent boost in transfer value as actuaries change the way calculations are made. According to documents seen by Money Marketing, actuaries are telling scheme trustees that recent mortality studies and changes to the economic climate mean that the existing basis for calculating cash-equivalent transfers is no longer appropriate. The changes mean that for schemes where funding levels are not an issue, actuaries ...

  • Zurich rethinks projection rates on Eagle Star WP fund

    9 Oct 2003

    Zurich Financial Services is reducing its projection rates on its closed with-profits fund, Eagle Star Life, in a move which will see the fund's conventional with-profits endowments introducing a new central projection rate of 3.75 per cent down from 6.25 per cent. This means its projections now sit at 3, 3.75 and 5 per cent which it says more accurately reflects its view of current economic conditions and its move towards a higher proportion of fixed-interest securities to ensure ...

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