Nationals round-up: ‘Greedy' IFAs, incredible stakeholder pension returns and plenty of love for index-linked savings certificates...
End of the road?
Clients who do not fit in the ‘high net worth' bracket may be a little nervous if they read the Independent on Sunday this weekend. The paper reported on the growing advice gap and criticised IFAs who are looking to jettison some of their previous clients to style themselves as ‘wealth management specialists. All this despite the number of high net worths in the UK actually being fairly low. The author says this ‘highlights the greed of much of the advice industry'.
It has been a long wait, but some clients may soon be receiving some hefty cheques, with payments to Equitable Life policyholders set to begin. The Mail on Sunday reports the oldest policyholders will receive their compensation first, with letters being sent out next month, although others will not get more details for a few more years.
Did you recommend stakeholder pension schemes to clients and their families? If not, readers of the Mail on Sunday may be calling up to find out why not. The paper reported on the impressive returns some are already seeing since their introduction a decade ago and the huge pension pots - up to £70m - they could be left with down the line.
They allow non-earners, including children, to save up to £2,880 in a pension in their name each year and money paid into the schemes attract tax relief rounding a £2,880 contribution up to £3,600.
Index-linked savings certificates
Almost every Sunday paper reported on the rush for NS&I's reissued index-linked savings certificates, which could help clients protect themselves against inflation. The Sunday Express reminded readers the certificates will only be available for a limited time and are likely to be snapped up quickly.
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