Equitable Life have announced that they have increased the penalties for people moving their investments away from the beleagured "with profits" fund from 10% to 14%. That is a whacking 40% increase. This is known as a Market Value Adjustment Factor.
But what about those who are near maturity or retirement and have stayed loyal so as to avoid the above high penalties. Well, you are now also caught by a new Maturity Value Adjustment of some 4%. This means that your fund will again be reduced. This adds to the pain of virtually no bonuses this year and just charges being levied.
So whether you stay or go you still get caught.
For help on your Equitable policy contact us.