Would former Equitable Life planholders have been better off staying at Equitable Life?
We cannot be sure what bonuses Equitable Life would have declared. Had they declared the same bonuses as on their with-profits pensions business, we believe all former Equitable Life planholders will receive an income, after the addition of our 2010 bonuses, that would equal, or exceed, what they would have received from Equitable Life. We maintain our belief that the Equitable Life transfer offers the former Equitable Life planholders the opportunity to benefit from the potential for higher long-term returns as a result of the Prudential With-Profits Fund’s greater equity investment, and our more active approach to managing our assets. There was no guarantee that transferring to Prudential would result in increases in your income. The potential benefits, along with the risk that your annuity could have better returns if you were to stay invested with Equitable Life were included in the policyholder circular issued in September 2007. We reiterate our belief that, in the long-term, you
