Scottish Mutual to cut MVRs on with-profits

Scottish Mutual is to decrease the market value reduction (MVRs) on its with-profits policies and in...

Scottish Mutual is to decrease the market value reduction (MVRs) on its with-profits policies and increase surrender values while aiming to build up the equity content of the fund. The move is being seen by some as a recognition that the group is effectively encouraging members to move out of the fund. Patrick Connolly, investment manager at John Scott & Partners, said: "This is a positive move because it signals that in the long term, they are happy for people to move their investments out of a closed fund that has no realistic chance of delivering strong returns." In a sign the grou...