View more on these topics

Vulture view

We have seen much activity recently over vulture funds which pick up moribund or distressed life companies.

What do the vultures achieve? A better price for shareholders in the target firm. A prospect of juicy profits for the vulture. But what of the policyholders?

Many IFAs can attest to appalling service when the vulture is called on even for the simplest tasks such as valuations. These firms will not spend money on decent websites which can enhance the service . Many of the funds picked up are with-profits, with zero bonus rates and MVRs. The client is held captive while the vulture extracts the management charges from the fund, which is gradually sinking into the dust.

The regulator? Ah now, there is a thought. So far, these vultures have been found to be a lucrative berth for ex-regulators, so why would they rock the boat?

Harry Katz

Norwest Consultants, Middlesex


Term fees

Just a short note to disgruntled IFA Julian Stevens, who complained bitterly his client would not pay him an admin fee of £50.


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