Liverpool Victoria Mutual Invstment Bond MVA News

hansi

I rang LV today to check on the value of my bond and the current MVA which is now down to 10.76% (from 15.5% in November 2005), and I was told they are looking to remove the MVA as soon as possible. Also, to avoid the dreaded 0870 number, ring them on 01202 292333.

ReportInvestor

And about time too.

Friends Provident, whose fund is not as strong as LV's, have managed to remove most of theirs.

choppy

What is an MVA could I ask ?

EdInvestor

"Market Value Adjuster"

It is a reduction imposed on the face value of your investment to reflect its lower underlying value after a big stockmarket fall.

In the case of With profits funds, the value of your investment is smoothed, so on maturing policies you don't experience the full force of a crash at first, the policy value will be reduced step by step over a period of years.

The MVA is imposed to stop members whose policies are not mature from leabing on the same terms and taking more than their share of the With profits fund.