Norwich Union, part of Aviva, has announced today that with effect from 5pm on Friday 31 October it will reduce the IFA commission rate across its Portfolio Bond by 1%.
Norwich Union, part of Aviva, has announced today that with effect from 5pm on Friday 31 October it will reduce the IFA commission rate across its Portfolio Bond by 1%.
Angela Seymour-Jackson, distribution director at Norwich Union, said: "The levels of commission on bonds has increased steadily over recent years to such an extent that they are no longer sustainable. This is a difficult decision but the right one to ensure that there is a sustainable balance between providing a valuable proposition to the customer and the financial return available to the adviser and provider.
"The aim of this change is to start to bring these commission levels more into line with collective investments over time. We remain committed to the IFA market but want to ensure that our products remain viable going forward."
The Norwich Union Portfolio Bond is a market-leading product offering a competitive charging structure and a wide range of funds and commission options.
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Notes to editors:
Norwich Union is the UK's largest insurer. It is a leading provider of life, pensions and investment products and one of the largest financial adviser (FA) providers. FAs provide over 70% of the company's long-term savings business in the UK.
Norwich Union is the UK's largest general insurer with a market share of around 14%, with a focus on insurance for individuals and small businesses.
Norwich Union's news releases and a selection of images are available from Aviva's internet press centre at www.aviva.com/media