2011 press releases

Confidence in the UK economy has fallen by 10% in Q4 2011 with financial advisers giving it an average score of 4.58 out of 10 (10 being most confident) compared to 5.1 in Q3 2011 according to Skandia’s latest Adviser Confidence Barometer*.

Nearly a third of international financial advisers believe Emerging Market Equities will continue to offer the best prospects for investment returns over the next 12 months, according to the latest international adviser confidence research* conducted by Skandia International.

People may not realise, but when they reach age 75, the retirement options they are using, or are expecting to use, may no longer be available to them. Instead, they may find they are stuck in outdated and inflexible pension contracts. People should take action to review their existing pension arrangements now, before they reach age 75, to help ensure they understand whether the options available to them will meet their longer term requirements.

The Investment Management Association’s proposal to enable investors to compare managed funds based on risk data is a positive development but in its current form is too restrictive and will not enable people to determine whether a fund’s risk level is aligned to their own individual attitude to risk, according to Skandia.

Investment specialist Skandia is hoping to score a ‘gamification’ hit through an online game that combines the principles of football and investment and offers high value prizes.  The game is free to play and registration can take less than a minute by using the ‘lucky dip’ options – http://www.fantasyfundfootball.co.uk/

On Monday 28 November, HMRC announced some changes to the carry forward rules governing pension funding. The changes enable people to carry forward unused allowances that were previously deemed unavailable and hence, can now pay more into their pension and benefit from further tax relief. This extra funding capability is great news, but is only available until the end of the current tax year, into pension arrangements with an input period ending in the 2011/12 tax year. Some people may not realise that they can still make use of this opportunity even if their pension input period in the current tax year has ended.

Skandia announces the launch of a flexible drawdown option via its platform pension: the Collective Retirement Account (CRA) and is increasing the age at which people can transfer existing pension funds into the scheme. The new features make the CRA very attractive for customers who require a cost effective and flexible pension solution with a wide range of investment options for both the accumulation and decumulation phases of their retirement planning.

The Financial Services Authority’s intent for an outright ban on legacy commission with effect from 1^st January 2013 creates a strong likelihood of customer detriment, says Skandia. 

Offshore financial adviser confidence drops by 14% in Q4 2011 although advisers in Asia remain relatively upbeat, according to Skandia's International's Adviser Confidence Barometer research.

The latest 15 year Gilt Yield figure, which will drive the maximum level of income withdrawal someone can take from their pension from December, has hit a new record low. The yield has fallen 37% since the start of the tax year, financially squeezing those about to take an income from their pension savings, and those approaching their pension income review period.