View more on these topics

FSA turns focus on equity release and pension unlocking

The FSA believes the next two biggest misselling scandals to rock the financial industry will be around equity-release products and pension unlocking.

Speaking at a Labour Conference fringe meeting, FSA managing director of retail markets Clive Briault said although he could not predict the next scandal, he admitted that the regulator is looking very closely at two areas.

At the Brighton conference on Tuesday this week, he said misselling of products which allow people to release value from their property in retirement was a particular concern.

He said although he supported the idea behind the product, the FSA had come across some evidence of miselling of products to elderly people and marketing material that was “wholly unsuitable”.

The FSA is also focusing attentions on the pension unlocking sector.

Increasing numbers of people aged over 50 are being targeted by firms claiming to be able to “unlock” funds in their occupational or personal pension for a fee before they have reach retirement age.

Briault said although many people may not be aware of the problem yet, the regulator took a harsh view of advertisements for the schemes on daytime television and considered that a number of schemes could be misselling.

He said: “We cannot predict where the next misselling scandal will come from but there are two areas that we are looking at very closely. The two biggest potential misselling scandals are the misselling of products designed to allow consumers to release the value of their property in retirement and pension unlocking.”

•Labour Conference reports, p2


FTSE 100 firms losing value over biodiversity failings

Leading stocks in the FTSE 100 index could be hit because they do not meet biodiversity guidelines, says Isis Asset Management. The firm has published a 55-page report in which it identifies areas where top firms are losing value because they are not taking care of sustaining eco-systems. The report was commissioned from the Earthwatch […]

Two in one from Citigroup

Citigroup has established the enhanced growth plan, a guaranteed equity bond that allows investors to link their investment to the FTSE 100 index for six years or the Dow Jones Global Titans 50 index for four years. Both options have an early maturity feature and will provide a full capital return at the end of […]

&#39The Pensions Bill has become a dreadful piece of legislation&#39

Author of the pension simplification report Alan Pickering has launched a scathing attack on the Inland Revenue and the Pensions Bill. Watson Wyatt partner Pickering says the Revenue&#39s efforts on the bill only merit two out of 10. He also thinks that the bill fails to promote saving for pensions and would add to red […]

ScotEq shelves plan to ditch price pledge

IFAs have won a battle with Scottish Equitable over protection product real-time pricing guarantees after ScotEq threatened to introduce immediate price changes. ScotEq told IFAs in September that it intended to impose real-time pricing on e-submissions for protection policies but without a guarantee that these prices would remain valid for a set period. The move […]


Natixis Global Asset Management’s quarterly Portfolio Barometer offers insights into UK financial advisers’ model portfolios and the allocation decisions they are making. Natixis’s Portfolio Research & Consulting Group works with financial advisers and other intermediaries to analyse and enhance their model portfolios and help them develop investor portfolios suited to today’s complex markets. The Portfolio […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm