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Article: ScotEq closes with profits doors; By Gabriela Pomeroy.(Scottish Equitable offers With Profits Growth Fund, With profits Cautious Fund)(International Pages)(Brief Article)(Statistical Data Included)
- Article from:
- Financial Advisor
- Article date:
- October 2, 2002
CopyrightCOPYRIGHT 2002 FT Business. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Scottish Equitable has closed its doors to traditional with profits new business.
The news comes as life insurers face a crisis, with nervous equity markets hovering near the 3700 mark. ScotEq will instead offer two Sandler-friendly funds the With Profits Growth Fund (with a high equity content) and the With profits Cautious Fund (higher in fixed interest).
Both are unitised smoothed funds without guarantees or bonuses and meet the reviews recommendation to be ring-fenced and 100/0, where all profits go to the policyholders.
The product will have a smoothed price calculated and published daily using an expected growth rate (EGR), based on ...