FSA fine Standard Life for misleading public

Standard Life (LON:SL) the pension provider has had their knuckles rapped and a fine of £2.45m for publishing misleading literature about one of its investment funds. It is believed that 98,000 investors have been misled.

According to the Financial Services authority, Investors had been told all their money was in cash when it was mainly in much riskier “asset-backed” investments. In January of last year they were told that their investment had dropped 5%. Investors were compensated by standard Life at a cost of £103m.

The FSA have said the firm had been guilty of publication of misleading marketing material. There were allegedly inadequate systems in place, so that marketing material issued accurate investment strategy for the fund concerned.

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