Zurich's Sterling broadens its fund offering

27th November 2002: Zurich, through its IFA brand Sterling, has enhanced its fund range by adding 15 new funds to its Investment Bond, ISA and PEP Transfer products. This brings the total number of funds available through the Sterling Bond to one hundred and two, and via the ISA & PEP Transfer to eight-seven, giving IFAs and their customers access to an even wider range of top quality funds.

The choice of new funds reflects Sterling's ongoing review of funds and fund managers and its strategy of offering a comprehensive, but not overwhelming, choice of differing investment approaches for each of the main stock markets and asset types. This includes funds from four new fund managers, namely: Edinburgh Fund Managers, First State Investments, Liontrust Asset Management and New Star Asset Management. First State offers their innovative Global Opportunities fund that has a performance-related fee and the Property Portfolio from Edinburgh Fund Managers provides access to property shares, as well as direct property investment. The new links will be available with immediate effect for both new and existing clients.

The new funds are:

FUND MANAGER	FUNDS
Edinburgh	Property
First State	Global Opportunities Asia Pacific
Framlington	Select Opportunities Equity Income UK Growth
Henderson	Preference & Bond
Liontrust	First Income
New Star	UK Growth UK Aggressive Higher Income
Schroder	UK Mid 250
Threadneedle	Defensive Bond Defensive Equity & Bond    Global Healthcare

Jim Reeve, Managing Director of Zurich IFA Group, commented: "Zurich is the number one provider of unit linked bonds to IFAs with a 10% growth in market share since 2001- and a large part of that success is due to the popularity of Sterling. Sterling has a great reputation and will continue to attract business by offering what IFAs want, from headline grabbing opportunities to the constant review of fund choice and product features." At the same time Sterling have also introduced a new Phased Investment facility for the Bond, giving customers more flexibility with their investments. Working on the basis of pound-cost averaging, this allows investors to automatically 'drip-feed' their investment from the UK Money Securities Fund - a low-risk, positively performing fund - into their chosen fund(s) over a six-month period. Zurich IFA Group believes that these new opportunities will help IFAs to 'thrive in a bear market', particularly when combined with the extra 1% allocation to all investments over £50,000 into the Sterling Investment Bond until 31st December. This offers the ideal solution to investors that want to take advantage of the offer, but are nervous about market conditions remaining unsettled. - ends - Notes to Editors: The Sterling Bond has a minimum investment of £5,000 and has a choice of three charging structures: Option 1 (standard) - 5% initial charge, 104% allocation over £100,000, 1% annual management charge, 2.25% bonus in year 10 and exit fees until year 6. Option 2 (no exit fee) - 5% initial charge, 101% allocation over £100,000, 1% annual management charge, 3% bonus in years 5 and 10 and no exit fees. Option 3 (higher allocation) - 5% charge, 106.25% allocation over £100,000, 1% annual management charge, 0.45% annual fee for first five years, 2.25% bonus in year 10 and exit fees until year 6. The extra 1% allocation will be in addition to the allocation rates shown above. Zurich Financial Services is an insurance-based financial services provider with an international network that focuses its activities on its key markets of North America, the United Kingdom and Continental Europe. Founded in 1872, Zurich is headquartered in Zurich, Switzerland. It has offices in approximately 60 countries and employs well over 70,000 people. Zurich Financial Services, (UKISA) is part of the Zurich Financial Services Group and comprises the Group's operations in the UK, Ireland and International Businesses. Media Information: Erica Harper, Zurich Media Relations : 01793 503969