Standard Life cuts terminal bonus rates

Citing a forecast drop in long-term returns from investments, Standard Life today announced it would be cutting terminal bonus rates by another 6% on average on its with profits policies. Annual bonus rates will remain unchanged the company says in its interim results, but it warns that bonus rates could change again. "As bonus rates and payouts must reflect underlying investment returns, future payouts may be lower than in the past. This will be the case for all types of investments, not just with profits. The extent of these changes will depend on actual investment returns."...