Why has my std life endwmt surrender value dropped like a stone since Mid March ???

David_c_4

Hi Dunston ,
Thanks , that makes a good deal of sense now .

So with a fair wind if i hung on a couple of weeks i might just find it favourable ?

Gorgeous_George

with profits = with losses when profits are negative.

You may encounter further losses. will you encounter further profits? Will losses today be counterbalanced by future profits?

I'd cash in now - before next month's losses are taken away from your surrender value. You must do what you think is right.

GG

dunstonh

So with a fair wind if i hung on a couple of weeks i might just find it favourable ?

If it was unitised with profits then you would expect a much quicker response to moving markets. Conventional with profits tend to have two points in the year where they make adjustments. Jan-Mar and June-Aug. They will make special bonus adjustments and MVR additions/removals in the interim if it appears the markets have stabilised or have gone up but you wouldnt expect those until a couple of months at least afterwards.

Also, a lot of these funds are heavy in fixed interest investments. Some of which the Govt has just hit through quantitative easing. Although the outlook on some fixed interest areas is very good potentially.

Problem is that in the short term you are trying to predict the unpredictable. You cant do it.

Gorgeous_George

Standard Life will continue to cut payouts. Did Equitable Life have a guaranteed payout? Did their customers get the guaranteed amounts?

What can affect the 'Guaranteed Value at Maturity'? I thought it was the 'Basic Sum Assured' that was guaranteed.

What if the stock market falls another 50% over the next three years? If it rises, won't they simply build up their cash reserves?

Don't they hold a large percentage of their funds in cash and property?

I surrendered last year, as did Mrs GG. I made all the information available to this forum and shared my thought process. Right now I think I'd surrender. Maybe, if you have 10 - 15 years to maturity with a small surrender value, it may be worth holding on but I doubt it. Imho, the goose is dead.

I am not a financial adviser nor a salesman. These opinions are mine and mine alone.

GG

David_c_4

Hi ,

Many thanks peeps , this is a great forum , sincere thanks for the advice.

David