Life companies get breathing space - papers 3 February

THE FSA waited until after the close on Friday to announce a review of the way solvency margins are calculated by life companies, a decision which is expected to boost the market this week. Solvency margin pressure forced many firms into a downward spiral of selling share holdings in order to maintain solvency, only to see the market fall further and be forced into selling again. The FT says the FSA will now provide waivers to individual companies to maintain their equity holdings as long as there is no detrimental effect to customers. THAT DECISION may also benefit Sta...