Written question asked by David Laws (Liberal Democrat) on Wednesday, 23 October 2002, in the House of Commons. It was due for an answer on Monday, 28 October 2002. It was answered by Ruth Kelly (Labour) on Monday, 28 October 2002 on behalf of the Treasury.

Treasury

Question: To ask Mr Chancellor of the Exchequer, if he will make a statement on the actions taken by the Financial Services Authority to address investor concerns about the fall in value of the Split Capital Trust market in the UK over the last two years.

Answer: Mr. David Laws: To ask Mr Chancellor of the Exchequer if he will make a statement on the actions taken by the Financial Services Authority to address investor concerns about the fall in value of the Split Capital Trust market in the UK over the last two years. [77494] Ruth Kelly: The Financial Services Authority issued a discussion paper on the split capital investment trust market in December 2001. The results of this discussion paper were published in May 2002. Since then the FSA have been investigating past problems, including possible problems with marketing literature, possible mis-selling and alleged collusive behaviour by some managers of split capital trusts. Looking forward, they have been considering if any changes are needed to the rules of their regulatory handbook or the listing rules. They have also been liaising with the Association of Investment Trusts on their proposals for improved disclosure of the portfolios and borrowings of split capital trusts.

Secondary information

Type: Written question
Reference: 77494; 391 c613W;391 c610W
Session: 2001-02
Subjects: Capital investment Financial services Investment trusts Trusts
Link: View this Written question on www.publications.parliament.uk

Treasury

Secondary information

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