Overall new business grew by a quarter in 2005 as demand for pensions and investments offset dwindling sales of mortgage-related protection

Overall, new business grew by a quarter in 2005 as demand for pensions and investments offset dwindling sales of mortgage-related protection policies in a subdued housing market. Valued at under 10 times next year's earnings, the shares are worth holding.ARBUTHNOTIt may be less the Thundering Herd and more a trotting pony, but Arbuthnot is a small British bank that is finding some form.Its investment banking business is doing nicely in a record year for the industry. Arbuthnot shares are yielding 6 per cent, against just 2 per cent by similar companies. With Henry Angest, the chairman and chief executive, owning almost 49 per cent of the company, that yield looks relatively safe. That, with the downturn in trading, makes the stock a sell.JD SPORTSNot only did the demise of the sports clothing retailer All:sports last year take out a direct rival to John David Group's JD Sports chain, but JD also snapped up a number of All:sports stores.JD is trying to set itself apart from rivals such as JJB Sports and Sportsworld by selling fashionable sportswear and offering exclusive product lines, such as Puma, although its stand-alone fashion stores, including RD Scott, performed poorly.Takeover speculation has swirled since Pentland, the owner of the Speedo brand, bought a 45 per cent stake in the company last summer.

He isn't prepared to offer a premium to the current 416.5p, but he knows that the hedge funds won't accept less Hence the impasse. But because even Monsoon is finding the going tough - interim pre-tax profits fell by 9 per cent - Simon can't figure out how much the company is worth. Aside from Gyrus's growth opportunities, the prospect of new North American investors should support the stock. The shares are a buy.MONSOONSix months ago, Monsoon shareholders were put on stand-by for a possible takeover bid from the retailer's chairman himself, Peter Simon (Simon's family controls three-quarters of the stock). Since then, the stock has soared almost 100p to more than £4.

There are also some synergies to be had in the UK, where the companies both own prominent businesses serving financial advisers. In the weeks since the deal has looked like a certainty, the company's shares have already climbed by a third, but they still look cheap at less than 10 times the earnings we expect for 2005. Buy.GYRUSLast year's acquisition of a US rival catapulted Gyrus, a specialist in making equipment for keyhole surgery, into the UK's No 2 spot behind Smith & Nephew. Gyrus had been flirting with American Cystoscope Makers Inc (ACMI) for more than five years, and finally tied the knot in June. Last week's trading update painted a rosy picture.The shares have far outperformed the health sector over the past year, but we believe they have further to go in the long term.

Five years and a lot of fruitless talks later, Sutcliffe has finally come good on his word - pushing ahead with the purchase of Skandia, the Swedish life insurer, in spite of fierce opposition from many of the company's shareholders. The result, it became clear this week, is a 70 per cent stake in a group with an extremely competitive position in the UK market, complementing Old Mutual's existing businesses, plus exposure to Scandinavia, Latin America and Asia.The acquisition will boost earnings from an early stage. London investors remained reluctant to give the company their full backing until it made the acquisition it had promised in the UK. When Jim Sutcliffe, the towering chief executive, came on board in 2001, he was all too aware of this pressure. Old Mutual, the South African financial services group, has long suffered from an image problem. As Nicole is keen to stick with a flip phone, he recommends the new Motorola v3i and Motorola PEBL U6. The Nokia 6101 and Samsung e530 are also possibilities but Anthony thinks these are less cutting edge.For a free financial check-up, write to Wealth Check, 'The Independent', 191 Marsh Wall, London E14 9RS, or e-mail cash independent.co.uk. By going over her limit she can end up paying as much as £120.Nicole has a Nokia 6170 flip phone and would be looking to upgrade to something similar.