Two years ago we questioned the wisdom of considering the distribution of orphan funds held by a few of the majors namely Prudential, and the Aviva Group, in particular, so it was no surprise to learn Aviva have called a halt to negotiations, in the midst of the current recession.
The good news is, that the buffer provided by the substantial inherited estates, should, we hope, avoid the necessity of the major Insurance Groups, needing to raise addditional funds from shareholders, and outside sources, thereby leaving our Insurance Companies in good shape and leaving the road clear to re-visit the orphan fund negotiating table when the good times return!!