FSA ban on death bonds 'would be overkill'

clock

A blanket ban on traded life policy (TLP) investments would amount to "overkill" and could hamper the UK's ability to compete in global markets, according to SL Investment Management (SL).

Responding to an FSA consultation on TLP investing, SL said the regulator's concerns would be better addressed by producing guidelines. In November, the FSA described TLPs as "high risk" and said they were generally unsuitable for most UK retail investors. But SL said the FSA's concerns apply to only a small number of providers and any future ban would therefore amount to "overkill". A blanket ban should only be used as a "last resort", it added. SL argued advisers should be permitted to consider TLPs for clients, pointing out a central tenet of the RDR is the promotion of choic...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Why the bull market in precious metals may be starting again

Why the bull market in precious metals may be starting again

Silver and gold again – who would have thought it?

Paul Wood
clock 20 May 2026 • 2 min read
Omnis Investments launches passive range for Openwork and 2plan advisers

Omnis Investments launches passive range for Openwork and 2plan advisers

L&G to run day-to-day investment management

Patrick Brusnahan
clock 19 May 2026 • 2 min read
Digital bank Zopa gains targeted support authorisation

Digital bank Zopa gains targeted support authorisation

Receives regulatory approval for investment products

Sophia Panayi
clock 19 May 2026 • 1 min read