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 is capital in there but you will see cuts in claims
values. They criticise Standard & Poor's, Moody's, me and now the
FSA about how to work out their accounts. They are in denial.”