In 2003 we responded to difficult market conditions, particularly the uncertain equities markets and declining consumer confidence in traditional with-profits and unit trust business, with a number of new products and services.
One notable success was the introduction of Co-operative Bank mortgages to CIS customers through our financial advisers. We launched a range of fixed and variable rate mortgages during 2003 and by the end of the financial year, one third of all Co-operative Financial Services (CFS) mortgage completions were from CIS customers.
In April 2003, we teamed up with Co-operative funeral providers to launch the Co-operative Funeralcare Pre-payment Plan through our financial advisers. Working with Co-operative Funeralcare and, through them, with 21 other Co-operative funeral partners, we are making the most of the opportunities in this developing market. The offer includes a range of options, designed for customers wishing to make detailed plans for their funerals. By the end of 2003, we had provided almost 7,000 plans.
In June 2003 we launched, jointly with The Co-operative Bank, our new Guaranteed Stock Market Deposit Bond. Product managers from both businesses worked closely together to create something to appeal to those seeking the security of a capital guarantee for their cash deposit, combined with the growth opportunities of the equities markets. Within 11 days of the initial launch to both CIS and bank customers, we had exceeded our target - and after subsequent issues in August and November, we had received almost £80 million of customer funds to be invested in the new product.
In early September, we revised and relaunched the CIS UK Income with Growth Unit Trust, again with considerable success. Targeted at customers looking for a steady income from their investment, as well as a reasonable expectation of capital growth, sales of the product were very encouraging. By the year-end, they made up almost 33% of regular and single premium unit trust sales.
We launched the last two of our planned new products for 2003 in the latter part of the year. In late September: the Corporate Bond Unit Trust was launched and was followed in December by the FTSE4Good Tracker Trust.
As well as developing new products, we continued to focus on improving our services and meeting the day-to-day needs of CIS customers. During the year, we issued more than a million annual statements to customers, in the format of the Association of British Insurers'(ABI) 'Raising Standards' initiative, setting out details of the values and performance of their policy in a clear and easy-to-understand way. Also, to streamline our processes, we upgraded the laptops our financial advisers use to allow them to upload investment details directly.
