FSA to monitor investment companies and with-profits policies

The FSA has told investment companies to be fair to their policy holders. Tighter rules will be imposed on investment firms that offer with-profits policies to consumers. Investment companies selling with-profits policies need to give consumers a better deal, according to the Financial Services Authority (FSA). The FSA is planning to create a set of stricter rules concerning the way that firms manage their with-profits funds including the reduction of punitive fees charged to consumers who cash-in on their policy early.