Credit crunch: regulators must act
“If you don’t understand it, don’t buy it. If your client doesn’t understand it, don’t sell it”, Robert Jenkins, chairman, Investment Management Association, told delegates at a Financial Services Authority Asset Management conference on 17 September.
Commenting on the credit crunch, he said: “the crisis arose from the combination of greed, imprudence and leverage. Greed is not new. Reckless lending is not new. Imprudent borrowing is not new. What is new and what distinguishes this credit crunch from past excesses is the unprecedented level of leverage. Regulators can and must address the issue of leverage.”
www.investmentuk.org
Divorce spoils
From April 2009 restrictions on non-member benefits will be lifted. Part of the pension benefits at present received by the non-member (usually the wife) cannot be taken before age 60 and cannot be taken as a tax free lump sum. In comparison, the member (usually the husband) can take benefits from age 50 and can take 25% as a tax free lump sum.
www.dwp.gov.uk
Online makeover
PENSIONSFORCE, the free workplace education service, has launched a new website.
www.pensionsforce.co.uk
Job of the month
Pensions administrators, Cheltenham and Liverpool
Competitive package
To work at leading actuaries.
Two or more years’ experience required.
See p56
Identity fraud
The Home Office estimates that identity fraud costs the UK economy over £1.7bn a year. With this in mind, Tracesmart has become the first company to be approved to receive UK death registration information as part of the General Register Office’s disclosure of death registration information to prevent impersonation of the deceased.
www.tracesmart.co.uk
Rocketing prices
Inflation is now around 9% for pensioners living in the UK, according to Alexander Forbes Annuity Bureau research.
www.annuity-bureau.co.uk
Relaxing the rules
James Hay will accept applications for protected rights across its entire product range of self-invested personal pensions from 1 October 2008.
www.jameshay.co.uk
SIPP alternatives
Over a fifth (21%) of SIPP
providers refuse to allow investors to hold private equity within their self-invested personal pension (SIPP) says Hotbed, a supplier of alternative asset investments.
www.hotbed.uk.com
A better outcome
Pension Insurance Corporation is insuring greater pension benefits for UK Can pension plan members than those provided under the Pension Protection Fund. In exchange for insuring these benefits, Pension Insurance Corporation has received assets amounting to £42m.
www.pensioninsurancecorp.com
Buyin barometer
Hewitt Associates is offering an online tool to assess whether a buyin is affordable.
www.hewitt.com
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