Re: British Government launches inquiry into Equitable
This is my understanding of the situation:
If the Halifax deal is rejected, then the current position continues.
There is no question of the Equitable being insolvent. Insolvency is an excess of liabilities over assets, which is manifestly not the case with the Equitable.
At present, Irish with profit bond holders (taken out since early 1999 ?) are subject to an MVA if they cash it before the 5th anniversary.
Michael C. , you are half way towards this 5th anniversary. My gut feeling would be that you should remain invested. The Irish with profits fund has been treated separately and so far, has not been too seriously affected. However, if you are worried about it, take the hit now and reinvest elsewhere.
Those holders of unit linked funds have absolutely nothing to worry about. They are being managed as before. I don't know if the Irish units are being managed by the Halifax or the Equitable, but it doesn't really matter.
The with profits pension is a bit more tricky. There is an MVA if you cash it before retirement. If that is a long way away and if the with profits element forms a large part of your assets, then you might be better taking the hit now and not worrying about it.
Brendan