Standard Life has restructured one of its global liquidity funds – a sterling seven-day notice money market fund – to remove the guarantee it had given to investors. At the same time it is making a capital injection into the fund, a move that would cost the life assurer about £50m. The change was due to the deterioration in liquidity conditions, Standard Life said, as it reported an 8% increase in Q1 life and pensions sales. The restructuring of the £1.8bn fund, which involves moving to a mark-to-market pricing structure, will trigger a £52m pre-tax loss, or £37m post-tax, in the first half, it said.

This entry was posted by Gwen Robinson on Thursday, May 1st, 2008 at 5:22 and is filed under Capital markets. Tagged with standard life. Edit this entry.