View more on these topics

Scottish Re chief set for £500k payout

Scottish Re Group international life reinsurance chief executive David Howell will get over £500,000 if he remains in the role after the business is sold.

Money Marketing revealed last month that the Bermuda-based company is selling its international reinsurance operations, including the UK and Asia, as well as its wealth management business, to focus on the North American market.

The group decided to sell of the UK arm, having been adversely affected by the group’s high sub-prime exposure which has seen it suspended from the New York stock exchange and downgraded by Standard & Poor’s and Fitch.

Howell is understood to have got a £250,000 retention bonus when the business was first put up for sale last year. A buyer has not been announced but an incentive agreement will see Howell get £500,000 plus the equivalent of 4 per cent of the sale price over £2.5m, as well as retained liabilities, if he stays at the firm after a sale is completed.

Scottish Re’s UK operation has around 5 per cent market share and clients include income protection provider Pioneer. Hannover, SCOR and XL have expressed interest in Scottish Re’s business in the past.

Recommended

Basic errors let risks be overlooked

The FSA’s internal report into the Northern Rock crisis has revealed a startling catalogue of regulatory failures, including basic mistakes such as not recording key meetings.The report by its internal audit division, covering supervision of the bank between January 1, 2005 and August 9, 2007, when the crisis became apparent, uncovers huge failings on the […]

MetLife cuts Tip charge and is set to add accumulation plan

MetLife is understood to be launching a new accumulation retirement product this summer and has reduced prices on its trustee investment plan.The firm will be offering a pension product positioned alongside its decumulation Tip and has cut charges on the Tip by 0.45 per cent to boost sales. Hargreaves Lansdown pensions analyst Nigel Callaghan says […]

Sovereign powers

Eight months after the credit crisis started to unfold, there is not much let-up in the newsflow from banks of writedowns leading to balancesheet rebuilding via rights issues and deals with sovereign wealth funds.

Abbey confident of hitting targets

Abbey for Intermediaries managing director Ricky Okey says it still plans to deliver against its 2008 business plan despite the liquidity crunch.Speaking at its key account conference last week, Okey said the firm will stick to the lending plans which it originally set last August.He said: “A lot has happened since then but we have […]

 Article 50 Q&A: The negotiations to watch for 

Holly Cassell, Assistant Manager of the top-performing Neptune UK Mid Cap Fund, discusses the potential near-term impact of Article 50 and the Brexit negotiations that she believes investors should pay most attention to. Read article here Important information  Investment risks  Neptune funds may have a high historic volatility rating and past performance is not a […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment