Advisers attempting to re-register clients away from Standard Life Investments range have been hit with delays as rival platforms cannot support the preferential share class.
Standard Life launched funds with preferential shares classes last month.
For advisers looking to re-reg from SLI products, Standard has temporarily decided to convert the assets to standard retail classes on its own platform before re-registering to the new platform.
But Tisa technical director Jeffrey Mushens says ceding platforms should be able to re-reg to the acquiring platform, with the new platform then converting assets to an appropriate share class.
He says: “Fund mangers will have to consent to another platform temporarily holding a share class which was agreed with another platform. The platforms do not want to have to hold data on all the share classes for all funds. Where one platform has preferential terms, all the others will have to be able to support that share class temporarily to make re-reg work.”
Tisa is developing a best practice document on how re-reg should interact with preferential share classes.
A Standard Life spokeswoman says: “We are currently working on the full implementation and automation of this process.
“In the short interim period we are happy to discuss the options for advisers and clients wishing to move assets urgently to another platform.”
Clear IFA director Howard Bullock says: “Platforms want preferential deals, but the have the problem of building the mechanics to support the system. Meanwhile it will become increasingly difficult for advisers to articulate all this to clients.”