View more on these topics

Just Retirement rejects variable annuity move

Just Retirement chief executive Mike Fuller has ruled out a move into variable annuities although he says the firm could join other insurers in launching a fixed-term product.

Last week, Just Retirement’s directors recommended an offer by private-equity firm Permira to acquire the company for £230m.

The deal involves a £25m cash injection but Fuller suggested that the investment would not be spent on setting up a variable plan.

He says: “I do not think there is a big enough need for such products and certainly not at the cost they have been over the last couple of years. Therefore, I do not see Just Retirement rushing into that product segment in the near future.

“To me it seems more of a talking point than a real customer need, other than for a very small segment of the population.”

But Fuller suggests Just Retirement could at some stage follow LV= in offering a temporary annuity to rival Living Time.

He said: “I can see no reason why we would not do something like that if we felt it was going to be a large enough market segment.”

LV= is understood to be working on the IT functionality for the product and Aviva is also considering a launch.


Adviser Fund Index

The debate surrounding performance fees is set to become increasingly mainstream, according to research by Skandia Investment Group.

The ongoing rate

I value my financial adviser, but he only seems to get in touch when he has something to sell. I am pretty sure he continues to get paid commission each year from my investments but he does little to justify receiving these payments. The last time I raised this, he argued the money was a deferred reward for the initial work. Does this sound fair?

Pada draws up default lines

The Personal Accounts Delivery Authority is honing its position on what investment options it should offer future members of personal accounts.


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