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AIG unveils conditional exit plan for enhanced fund investors

AIG Life has unveiled a conditional exit plan to allow investors in the enhanced fund to pull their investments out so long as the value remains above a given threshold.

Policyholders in the frozen enhanced fund previously had until November 25 to decide whether to take the exit plan and face losing between 25 and 50 per cent of their money, or to take the maturity plan and stay invested until 2012 in order to guarantee their capital.

In a third option, policyholders will now be able to choose the conditional exit plan and withdraw their funds only if the auction price for assets is above a set threshold.

If the threshold is not met, investors will be switched into the protected recovery fund and take the maturity plan instead.


Light up the rules

Although I agree with the regulator’s move to lighter-touch and principle-led compliance, I sometimes miss the old-style heavy-handed compliance regime with thousands of pages of rules and guidance to read. We had so much to read and understand through documents issued, particularly by the Treasury and the FSA. Never a dull moment as the financial services’ chattering class discussed the finer points of Mifid and the rewrite of the conduct of business rules.

HBOS deal-breakers snubbed

The Scottish bankers trying to scupper the HBOS/Lloyds TSB merger have been given short shrift from major HBOS shareholders.

Schroders to merge UK fund duo

Schroders is to merge Richard Buxton’s UK large-cap fund into its UK alpha plus vehicle by the end of the year.


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