Advisers attack life office support on offshore bonds

0
Your rating: None
2008-11-06 (All day)

Full news item pasted here....

Premier Wealth Management has criticised offshore bond providers for not adequately supporting advisers as debate continues to rage over providers' disclosure of compensation arrangements covering offshore bonds.

Managing director Adrian Shandley claims that the level of support provided by life offices to IFAs has been "absolutely abysmal" and says the relationship between the two industry sectors is likely to be damaged by recent events.
He says: "These companies need to remember that they will need to get business from IFAs in the future and the way they are behaving and their lack of support will not be forgotten quickly."

Shandley has also warned that the Isle of Man risks losing credibility as a leading offshore jurisdiction unless the local government ensures that money is returned to individuals who have invested in Kaupthing Singer & Friedlander Isle of Man.

He says: "If the Isle of Man does not pull its finger out and get this money back to people, it is going to suffer badly for a long time to come."

Ruth Whitehead Associates principal Ruth Whitehead says: "Bond providers have not made the risks of cash held offshore perfectly clear. However, it is also up to the person who arranged the bond, advised on it and sold it in the first place to communicate these risks.

"Greater disclosure from providers happens more now although it is still very variable. It is too little, too late, as usual. Whatever they are doing now is shutting the stable door after the horse has bolted."