Resolution and peers plunge as FCA plans zombie fund probe

Shares in Resolution and peers tumbled today following reports the FCA is to probe 30 million legacy insurance policies.

In an interview with the Daily Telegraph, the FCA said it has concerns that pensions, endowments, investment bonds and life insurance policies sold in the UK between the 1970s and 2000 subjected customers to "unfair" conditions. In particular, the FCA is preparing to act on exit fees from such policies, which currently penalise savers who want to switch providers. Today's revelation - which is expected to be unveiled by the FCA in an update from the regulator on Monday - spooked markets. Shares in Resolution were down 9.2% by mid-morning, while insurers Legal & General and Aviva we...