BNP Paribas Cardif announced that it would end the marketing of 41 units of account, these unguaranteed investment vehicles, in its life insurance contracts and retirement savings plans. In the list, funds from established management houses such as Comgest, Invesco, Meeschaert AM and even JP Morgan AM… So what has happened to the company? She simply applies the instructions of her guardianship. The Prudential Control and Resolution Authority demanded “a better correlation between fees and the performance of units of account”.
The profession has therefore put itself in working order: by the end of the year, each insurer must have reviewed its list of products. All those displaying excessive costs compared to the average of supports with a comparable level of risk must be analyzed in detail, to validate whether the relationship between the cost and the performance achieved in the long term is consistent. Otherwise, the company can negotiate with the management company, in order to lower the invoice, or stop the sale of the product.
For policyholders, however, little change because, if they wish, the sums invested can remain lodged in the funds concerned. However, it will no longer be possible to invest there. Some insurers could go further by delisting the funds concerned, which would mean withdrawing from them for the saver. In this case, they will offer you another vehicle, with similar characteristics, to invest your money.