Five years ago, heading into the week of 29 January, Capel Cure Myers was setting up an IFA service ...
Five years ago, heading into the week of 29 January, Capel Cure Myers was setting up an IFA service to help boost its business levels. The investment house, which had £4.5bn in assets under management, was sourcing 40% of its business from IFAs but was looking to boost that to 75% over 1997 and 1998.
Henderson TR had obtained the management contract to run River & Mercantile's American Trust. The change on the £24.2m portfolio followed an earlier announcement that Jupiter was to operate the River & Mercantile Extra Income trust. River & Mercantile was winding down its investment trust arm in order to concentrate on unit trusts.
Peter Young's Morgan Grenfell European Growth fund, was showing volatility in its performance figures due to its heavy weightings in communications, electronics and pharmaceuticals. The fund, at the time ranked by S&P as first over five years, three years and one year periods, had dropped to 109 out of 123 funds over three months.
Close Brothers was launching a venture capital trust with the aim of offering a minimum gross yield of 5%pa. Much of the trust was to be constructed with investments in property, nursing homes, forestry, shipping and hotels.
Fidelity had revealed its packaged Isa plan for the 1996 Pep season. The group combined its Special Situations, European and its South East Asia funds in the Fidelity Triple Performance Pep.
Five years ago Guinness Flight was entering the fray alongside Fidelity and Virgin in offering a no-load corporate bond Pep. Its Value Bond Pep was the first Guinness Flight product to be marketed direct to the public.
The life industry was applauding the report from the Retirement Income Inquiry, which suggested that everyone in employment should pay at least 4.8% of annual earnings into the funded National Pensions Scheme or a personal or occupational scheme if they preferred.
Scottish Equitable and Royal Insurance had both launched new with-profits products. ScotEq was offering a with-profits fund to replace its existing unitised with-profits endowment fund, which had an underlying rate that IFAs argued was too high because it needed supporting with bond investment. The lower underlying guarantee attached to the new fund allowed investment in equities.
Letters and comments at the time five years ago were discussing Perpetual's move to charge a performance related fee on its new investment trust Pep. The group was looking to charge 10% of outperformance of the FTSE All Share, up to a maximum of 0.75% of gross assets plus VAT a year.
Slow progress in improving diversity
Share purchase deal with assets of £28m
Came into effect in January
Three examples of compensation rule issues
Buying in baskets