Norwich Union - Reattribution

alared

Your above statement just shows you`re talking tripe.
If you told anyone they could possibly lose 40% on their investment in one year,they`d run a mile.

dunstonh

alared wrote: »

Your above statement just shows you`re talking tripe.
If you told anyone they could possibly lose 40% on their investment in one year,they`d run a mile.

You dont live in the real world if you think that. Most of the regular posters here who are serious investors accept that, if not more.

alared

I repeat, if you told any potential investor they could lose 40% in one year with one of these financial products,they would laugh in your face and run a mile.
Get real.

dunstonh

alared wrote: »

I repeat, if you told any potential investor they could lose 40% in one year with one of these financial products,they would laugh in your face and run a mile.
Get real.

I do frequently and they dont run a mile.

You are just trying to apply your risk profile to everyone else and assume that is the norm. It is not.

I would say that 20-30% is more typical of the norm. 40-50% is more in line with your experienced investor.

alared

Excellent article here for anyone trapped in these crap financial products.

With-profits: the get out of jail free card

Many policyholders can escape their funds — just check the small print:


Up to 300,000 people with £10 billion tied up in poor-performing with-profits bonds could take advantage of a “get out of jail free” card this year which they may not even realise they have.
Little-known “spot guarantees” enable investors to take their money out on the tenth anniversary of the bond’s start date without being hit with a penalty.

http://www.timesonline.co.uk/tol/money/investment/article5779428.ece:j :j :j
The advice comes as the outlook for with-profits policies continues to deteriorate. Last week Legal & General said it had cut payouts on endowments, pensions and bonds by up to 18%, just days after having to increase reserves to offset losses on its corporate-bond portfolio.

coolchris

Thats a great find mate. :beer:Im gonna phone Aviva Monday and ask them about my specific TandC's. Hopefully I may have this in the small print, even though the article mentioned that Aviva will inform the relevent policy holders 60 days beforehand...hmmm...better to be safe than sorry.

sabretoothtigger

Any "investment" that goes down 20/25% in one year is not only bad but disastrous.

Depends on the type of investment but a year isnt a long time. Keep it in savings if you need 100% back in 1 year for certain, thats the case for savings vs investments

If it fell 25% over ten years then I'd agree. The price was too high on purchase or it was mismanaged or the fundamentals were awful.

Short term - 1 or 2 years
medium term 5 years
long term 10 years +


NU are obligated by the regulator to maintain a highly solvent cashflow. Standard life has over 3bn sitting on its balance sheet in case of a rainy day and every company in sector is lagging behind.
A payout now would have been judged negligent

daveoc22

My son-in-law has just phoned me with a question that I said I would post on here in hope of an answer.

He says he has a NU with profit mortgage endowment with a cash in value of £19000+.

He now needs this money and intends to cash in the policy. His question is, can he leave an amount with NU 'uncashed' so that he will get the reattribution should it ever come, or must he cash in the whole endowment.

If he can leave some with NU is there a minimum amount that it must be to be able to get the reattribution.

Thanks

EdInvestor

daveoc22 wrote: »

His question is, can he leave an amount with NU 'uncashed' so that he will get the reattribution should it ever come

No he has to cash in the entire policy.

melbury

Is the reattribution still likely to happen at some future date then?

I had a few letters from that Spottiswood (hope that is spelt correctly) woman and was quite looking forward to getting a little windfall this year. Was quite disappointed to suddenly be told that it wouldn't be happening and still don't really understand why. Do any of you clever financial people on here know why?

Many thanks.