irish life Property portfolio Fund

[Curleysue]

Hi

Help Please. I invested a substantial sum of money in Irish Life Property Portfolio Fund in June 2007. Was explained at time that I would have access to my money at any time but that a cash in charge would apply, which is understandable.

However I received a letter in Oct 08 stating i needed to give 6 months notice to withdraw or cash in my fund. I met with an advisor who explained as the investment was doing so badly due to the downturn that they decided to implement this 6 months notice clause. However it was explained to me that they could transfer my units approximately 15500 untis to a safe deposit account. Whilst in this deposit account my investment would remain "frozen" for a better word, it would make 1.5% interest but they would still take their manangement fee of 1.5%.

However my 6 months "no touch" clause ended yesterday and what was left of my investment was transfered into the safe deposit account. However my units have dropped from 15500 to 9500. Can anyone explain or enlighten me as to why my total number of units have dropped, when i was of the understanding that it was the price of the units that would rise and fall not the amount of units.

Any advice is appreciated.

 

[casper4]

Hi, I wondered how you got on? I am in a similar situation with funds dropping all the time.I am thinking of cashing mine in ,having lost 10grand at this stage

 

[johnnygman]

I would assume that the date you switched into the deposit fund was the recent switch date,with Property values continuing to tumble your value has decreased in the last 6 months in line with the property fund.
It is only now that your units/value have been transferred into the Deposit fund so unfortunately even though you signed the switch request 6 months ago you were still exposed to another 6 months of falling property values due to the 6 months switching clause inserted by Irish Life.
Many other Life companies and property funds have included similiar clauses to protect their property funds and fund clients in case of mass encashments.

 

[roland]

Hi, I wondered how you got on? I am in a similar situation with funds dropping all the time.I am thinking of cashing mine in ,having lost 10grand at this stage

Now is probably not a great time to be selling property, unless you really need to?

 

[owlface]

I also had IL Fund and a friends first property fund for 15K each, which I took out in 2001, As the years progressed, I noticed IL falling far behind Friends First for no good reason.

When permanent Tsb was coupled with irish life, I noticed through the moneymate tables that their annual appreciation dropped from 11 to 4%, i promptly cashed in the Irish Life fund ASAP. I also had an Irish Life 'scope' fund which lost me 15k And THAT WAS IN THE GOOD DAYS when markets were appreciating 2001-2005.

Just goes to show that EIRCOM, Irish Life and all Irish fund related gangsters of such Ilk are just conmen. Once they have sold you a policy, you never hear from them again unless they want to milk you or bump up your contributions.