Professional indemnity cover is now the highest overhead we face and anyone who has asked for a quote for run-off cover will know it is just not affordable into retirement.This is clearly a major problem which is compounded by two issues referred to by recent correspondents. Yet again, we will have to contribute to pay for compensation claims for a medium-sized limited company IFA which has chosen to go into liquidation to avoid its liabilities. The FSA must be pressed into taking action to protect the rest of the industry and the clients against what is often a gross abuse. The other issue is of spurious complaints encouraged by complaint handlers, as referred to by Gareth Fatchett (Money Marketing, January 6). In November, my wife and myself each completed an online five-minute question-naire from one such organi-sation.We answered all the questions in a way which would lead anyone to conclude we had not been missold an endow-ment. We even answered “yes” to a question which asked if we had been informed at point of sale that the policy might not pay off the target sum. Unsurprisingly, the result screen said: “From the answers you gave, we believe you may have been missold an endowment policy.” This was followed by four emails over the next few weeks offering further encouragement to register a complaint through the agency. I referred the results to the FSA, who said this was nothing to do with them as it is an issue for the Office of Fair Trading. The OFT replied they were not intending to look at these businesses. Christopher SheldrakePrincipal,The Insurance and Investment Service,Ferndown, Dorset
An IFA action group could be set up to start legal action for investors in the Eurolife secured bond which is set to mature next week with investors losing around 17m.
Private client manager Rensburg’s rejection of Rathbones’ offer in favour of a reverse takeover of Carr Shepherd Crosthwaite could secure its shareholders a better deal.
Lawrence House Fund Managers
Lawrence House Balanced Managed Fund
Great fun was had by all at fund firm Jupiter’s 20th birthday bash at the swanky Elysium bar last week. But a hidden menace lurked in the shadows unbeknown to most revellers. PR goddess Angela Madden’s attempts to tie a huge bunch of helium balloons to the Diary were met with short shrift by the […]
By Robin Geffen, Fund Manager & CEO This is a testing time for investors. Over the past year the market has been driven forward by strong fundamental trends underpinned by changes in the real world, but over the past month a more animalistic sentiment has sent shares plunging. As we consider the remainder of the […]
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Support service provider SimplyBiz has signed a third new deal for defined benefit transfer advice work after its original partner pulled out of the marketplace. In an email to members seen by Money Marketing, compliance director Gary Kershaw apologises for any inconvenience caused by Crowborough-based advice firm CFPML’s decision to exit the DB transfer marketplace. […]
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