Standard Life Investments has given a dramatic boost to the Treasury's Cat standard project by announcing plans to offer an actively managed cat-marked individual savings account.
The fund manager has yet to finalise the design but believes that it can offer an actively managed investment portfolio while still keeping annual management charges below the one per cent Treasury ceiling.
It is the first manager to promise an actively managed although several passive managers have hoping to offer tracker funds.
SLI believes that there is consumer demand for Cat-marked ISAs which have a stocks and shares component.
Standard Life Group has already announced that it will be offering a Cat-marked cash component ISA through Standard Life bank.
SLI chief executive Sandy Crombie says: "We will be offering customers a choice between the security of a high interest account and the risk and reward of an investment in stocks and shares."