I have a 'unit-linked' endowment policy with Scottish Life, which I am thinking of cashing-in. Does anyone know if I will have to pay a market value adjustment (which would be the final insult in what must rank as one of the worst financial products of all time), or do these adjustments only apply to 'with profits' policies?
John
The latter.
Rob Graham
"Robin Graham" wrote
Agreed, but the OP should ensure that his "unit-linked" policy is not, in fact, a "unitised WP" policy ...
Tim wrote: :> "J O M" wrote :> > I have a 'unit-linked' endowment policy with Scottish Life, which :> > I am thinking of cashing-in. Does anyone know if I will have to :> > pay a market value adjustment (which would be the final insult :> > in what must rank as one of the worst financial products of all :> > time), or do these adjustments only apply to 'with profits' policies? :> : "Robin Graham" wrote :> The latter.
: Agreed, but the OP should ensure that his "unit-linked" policy is not, in : fact, a "unitised WP" policy ...
Thanks for replies. It's a Scottish Life 'Profitbuilder' (!), described in the product particulars as 'a unit linked endowment contract', so presumably not a unitised WP
This isn't definitive. Most endowment providers have a product tradename within which the investor can choose from a range of funds. Ring up Scottish Life and ask what funds you're in.
Rob Graham
It may well not be with profits of any kind, so you don't suffer any implicit penalties, but you could suffer some explicit penalies on a unit linked fund - you need to check with the provider.
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