24/06/03

Following the FSA’s announcement of the implementation of new rules governing with-profits policies, Francis McGee, Head of Regulation and Strategy at the ABI, said:

“The ABI has long supported these sorts of changes: we suggested many ideas to the FSA for improving the transparency of with-profits policies.  Changes to the governance of with-profits policies will mean more clarity for millions of savers.

Greater clarity will improve confidence among consumers about their investments.  The new document “Principles and Practices of Financial Management” will provide consumers with more information about how their fund is invested, which can only be a good thing. We will be studying the detail of these reforms and will continue to work closely with the FSA and our member companies. 

With-profits policies continue to provide good returns in times of market volatility.  These reforms will help the industry and more importantly, help customers too.”

Provided by the ABI