The Government’s long-term target of achieving 40 per cent state and 60 per cent private pension provision is unlikely to be achieved, according to the Pensions Policy Institute.A study carried out by the PPI and the Nuffield Foundation concludes that the state is likely to remain the major provider for many people as only the state can guarantee poverty prevention. The distinction between state and private refers to the delivery of the pension rather than how it is paid for, with public sector and contracted-out pensions counted as private. The PPI says the role of the state in poverty prevention needs to be improved, scrapping means testing due to its imperfect take-up and offering a more generous, simpler system. But it says the state’s role should not end there, with more work needed to dec- ide whether reinvigorating voluntary saving through better incentives will work – the preferable option – or if some form of compulsion is required. The report also says working longer will play a big- ger part of future pension policy, with the labour market having to be adjusted further to take into account older workers. On gender inequality in pensions, the report says a residency-based scheme would provide a better coverage than the current contributory system as it is seen to be fair and simple to understand. But this move may be too radical and reform to the contributory system could be the better step, with more research needed. PPI director Alison O’Connell says: “PPI research, based on macro and micro-econ-omic analysis, shows that the 40:60 target does not look likely to be achieved in future.”
Liverpool Victoria is launching an investment bond that allows free switches between three new with-profits funds – cautious, balanced and growth. The All-in-1 investment bond is available for sums between 10,000 and 500,000 and carries an option of a five year capital preservation guarantee.
India’s rapid economic growth looks set to continue, making it an attractive prospect for the investor
David Robinson – Cheif Executive, Bright GreyI am delighted to see the launch of MM’s campaign, highlighting many of the issues that have been concerning the protection industry for some time. Bright Grey has always argued that a decision to buy protection products should never be based on price alone as, overall, customer value is […]
Beachcroft Wansbroughs financial services arm will be advising on Standard Life Healthcare on purchase of the PMI business of FirstAssist Insurance Services. The purchase is subject to FSA and court approval and the formal portfolio transfer of the insurance risk to Standard Life Healthcare, which will be completed in the first quarter of 2006.
FE Alpha Manager Mark Martin assumed management of the multi-cap UK Opportunities Fund at the beginning of February. As manager of the highly regarded UK Mid Cap Fund, Martin has begun restructuring the new portfolio to focus on our very best UK stock ideas from across the FTSE All-Share Index. In this video, update Martin addresses:
– Themes informing the UK Opportunities Fund
– The multi-cap structure of the fund
– UK equity valuations
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