NU slashes with-profits MVR

Norwich Union has cut the average market value reduction on its range of unitised with-profits poli...

Norwich Union has cut the average market value reduction on its range of unitised with-profits policies by up to 50%. The changes came into effect on 6 October and apply to the main CGNU fund, as well as the Norwich Union Life and Pensions (Nulap) and closed Commercial Union (Culac) vehicles. The group has reduced MVRs four times so far this year to reflect increasing asset shares over 2004 and 2005. The highest reduction still applies to units bought in 2000, although the MVR has dropped from 18% at the start of the year to 11% at 6 October. For other years, MVRs are now 4% for units...