View more on these topics

Widows boosted by 25% increase in IFA business

Booming IFA business through Scottish Widows helped relieve the gloom

of downbeat annual results from LloydsTSB.

Widows&#39 sales last year via IFAs jumped by 25 per cent to

£348.5m from £279.8m in 2001 on an equivalent premium

income basis. The results mean Widows has increased its share of the

IFA market from to 4.5 per cent from 3.8 per cent and IFA business

now makes up around 45 per cent of Widows&#39 business.

The results also show that Widows survived 2002 without requiring a

capital injection from its parent although LloydsTSB says it may

have to inject capital if the FTSE100 falls to 3,000.

It estimates that if the markets remain at that level, Widows would

require an injection of £300m.

LloydsTSB says it is in talks with the FSA about compensating

investors in Widows&#39 extra income & growth plan who face capital

losses.

It says it will know how much a compensation it will have to pay out

by the end of the year.

LloydsTSB has also put aside £165m to cover endowment misselling

by the now defunct Abbey Life salesforce and another £40m for

the final costs of pension misselling.

Total profit for the LloydsTSB group fell by 18 per cent to

£2.6bn last year from £3.16bn in 2001.

Scottish Widows head of IFA marketing Alan Whiting says: “We have

listened very carefully to the views and needs of IFAs and then

systematically worked tow-ards improving and enhancing our offering.”

Fiona Price director Donna Bradshaw says: “Scottish Widows has turned

a corner. The investment performance has improved a bit, which was

something that put us off them before.”

Recommended

London BTL loan size slides

The average size of buy-to-let loans in central London fell by 25 percent in the fourth quarter of last year while BTL loans in Scotlandand Northern Ireland rocketed, says the Association of ResidentialLetting Agents.Its survey of BTL trends carried out for its panel of lenders,including Birmingham Midshires, GMAC-RFC, NatWest, Paragon andStandard Life Bank, reveals stark […]

MPs tell split-cap firms to act now on compensation

The Treasury select committee has told split-capital investment trustcompanies to act now and compensate small investors rather than waitto be told to do so by the FSA, ombudsman or law courts.The Parliamentary committee published its report into the split-capcrisis last week and called for redress for many small investors whohave seen their investments disappear as […]

54% opt for critical illness cover over income protection

More than a half of all protection policies sold through IFAs includea critical-Illness element, according to research by LiverpoolVictoria Friendly Society.Fifty-four per cent of IFA-distributed protection policies have somedegree of CI but the research also shows that 23 per cent includeincome protection.Liverpool Victoria says it expects the balance to tip more towardscritical-illness cover primarily for […]

Shield yield or go for growth in UK

After many years of successful Isa seasons with investors committing money to the UK market, investor psychology is a major factor for 2003. Despite the dramatic falls in markets and the perception that many UK stocks are at very attractive levels, investors are still unwilling to commit money to the UK market. If people were […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    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

    Email: customerservices@moneymarketing.com