Expert comment

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Revolution in financial advising

By Danny Cox | 01 Dec, 2008
Up front commissions on financial services products, arguably the source of many of the mis-selling scandals over the years, is set to be replaced in 2012, according to the latest proposals issued by the Financial Services Authority. At the same time, financial advisers will have to become better qualified before they will be able to advise clients. Both measures aim to improve the quality of advice offered to the UK public, thereby increasing consumer confidence and lending, it is hoped, to a wider take up of financial planning and products.  These initiatives are not new amongst the best broker firms. We have been working on a fair and unbiased charging structure for many years. The principle being with lump sum investing, regardless of product or provider, we charge the same and a fraction of the commission available. Insurers offer advisers up to 8% commission on certain products, meaning a danger that there could be a bias. However the commission might be disguised within complex charging structures,...

Recent comments

A week in advance 1st - 5th December 2008

By Keith Bowman | 28 Nov, 2008
This coming week sees the UK major corporate calendar remaining reasonably busy, with interest rate policy dominating the economic calendar. In the US, with the third quarter corporate results season all but finished, economic data releases remain centre stage. Economics In...

Indian market steady after terrorist attacks

By Stuart Goodwin | 28 Nov, 2008
The recent tragic events in India remind us of the dangers the world is now facing. Much has already been written about the personal and political impact of the terrorist action. Investors in India may be wondering how the country’s...

Lifetime limits

By Tom McPhail | 27 Nov, 2008
Picking up on one of the many fiscal bombshells in the pre-budget report, there was the announcement that the lifetime limit for pension funds will be frozen in 2010 at £1.8 million. This will affect a surprisingly wide range of...

Past comments

• A fair deal for Retiring investors?

  By Nigel Callaghan | 26 Nov, 2008
  Retiring investors have had the ability to switch their pension savings between insurance companies when buying an annuity to secure a bigger income for life since being introduced in 1978 - 30 years ago (also known as the Open Market...

• Premium bonds - ERNIE isn't being so generous now

  By Ben Yearsley | 25 Nov, 2008
  One of the fallouts from the large interest rate cut last month that was designed to help borrowers is that savings rates are being slashed. Generally the safer savings institutions such as National Savings cut rates first and by the...

• Tax cuts to boost economy

  By Stephen Lansdown | 24 Nov, 2008
  With government borrowing already high in an attempt to stave off a banking crisis and a major recession, the Chancellor of the Exchequer Alistair Darling is about to increase this to £120 billion in his pre-Budget report today.  This will...

• New Star - reorganisation to improve performance

  By Meera Patel | 21 Nov, 2008
  New Star has announced a number of changes to its fund range including the departure of Stephen Whittaker, joint Chief Investment Officer and manager of their flagging New Star UK Growth Fund. The fund has underperformed recently and New Star...

• A week in advance 24th - 28th November

  By Keith Bowman | 21 Nov, 2008
  This coming week sees the UK major corporate calendar remaining busy, although only one event looks likely to dominate the economic calendar. In the US, a relatively quiet week lies in prospect, with events being cut short due to the...

• Bonds good for care fees?

  By Danny Cox | 21 Nov, 2008
  Prompted by our recent Guide to Investment Bonds, a client queried the relationship between insurance bonds and care fees. When a local authority conducts a financial assessment to establish whether a person has to pay for their own care, this assessment...

• Market update

  By Richard Hunter | 20 Nov, 2008
  Perhaps the only surprise that global markets have taken another downward lurch overnight should be that it is a surprise. The latest sell-off follows comments from the US Federal Reserve that economic growth is likely to be flat this year and...

• The inflation ogre

  By Nigel Callaghan | 19 Nov, 2008
  A number of newspapers have recently suggested that inflation could drop to only 1 or 2% in the coming months. Now that immediate inflationary fears are rapidly becoming yesterday’s news, is there less of a need to buy a retirement...

• Tough times at New Star

  By Stuart Goodwin | 18 Nov, 2008
  Security of capital has perhaps been the major concern of investors this year, even more so than falling stock markets. The perception that some UK banks were near failure earlier this year caused shockwaves. Now even a whisper that a...

• Bank deposit safe again?

  By Stephen Lansdown | 17 Nov, 2008
  Although I have always understood the risks involved with banks I never for one moment thought that we would be faced with the possibility of major banks going to the wall. This period will go down in history and will...

• A week in advance 17th - 21st November 2008

  By Keith Bowman | 14 Nov, 2008
  This coming week sees the UK major corporate and economic calendars remaining busy. In the US, a steady flow of economic announcements is scheduled, whilst the third quarter corporate results season begins to reach its end. Economics In the UK, inflation...

• Market update

  By Mark Dampier | 14 Nov, 2008
  It always amazes me how sentiment changes so rapidly in stock markets. Only a few months ago, Goldman Sachs were forecasting a price of $200 a barrel for oil, but is now below $60 a barrel as a global recession...

• X-tra factor

  By Danny Cox | 13 Nov, 2008
  The huge interest rate cut last week has made mortgage payers much happier. Half the UK’s mortgage payers are on a fixed rate so won’t see an immediate benefit, but will hopefully see some benefits when their deal comes up for...

• Will China's latest stimulus package help?

  By Meera Patel | 12 Nov, 2008
  China has just announced a massive infrastructure programme as part of a new fiscal stimulus plan to help boost its slowing economy. Economic growth for the third quarter came in lower than expected in the face of weaker international demand. The...

• Learning from the mistakes of history

  By Tom McPhail | 11 Nov, 2008
  We have just had Remembrance Sunday, a time to reflect on past wars and give thanks to those who have endured them at first hand. At a more prosaic level, when it comes to financial Armageddon, it seems that we could...