Standard Life has announced bonus rates for with-profits policies. Based on a 20-year with profits for a male retiring at the age of 65, paying premiums of £200 per month, the effective growth is 10.0%. Based on a Standard Life 10-year with-profits savings endowment taken out by a male when aged 29, paying premiums of £50 per month, the effective growth is 12.3%.
Our view
Given the market recovery over the last three years it is good to see improving bonus rate projections.