View more on these topics

Advisers told they should tie for Sipps

Consumers do not care if IFAs are independent and pension advisers should tie to Sipp providers because there is no value in being independent, claims Merchant Investors head of sales and marketing Richard Ellis.

He says if an IFA is tied to one Sipp provider, this leaves the adviser free to concentrate on advising clients on what to invest in rather than wasting time shopping around for Sipp providers that offer similar products.

Ellis says: “What is the value in being independent? Consumers do not care that IFAs are independent. In the case of a tax wrapper, it is a question of whether you are interested in the cup or the coffee inside it. Most consumers are more interested in the coffee than the cup.

“Advisers are all scratching around trying to justify why they are with this company or that company when it does not really matter. They are taking their eyes off the ball. What is important is what the Sipp is invested in, not the tax wrapper itself.”

Ellis says MI is embarking upon an aggressive program of growth and wants to be the scale of GE Life before it rebranded as Tomorrow and was sold to LV.

Specialist Sipp provider MI has plans to double turnover every year for the next three years to reach its targets and is developing a trust-based Sipp and a syndicated property Sipp.

Recommended

SMEs reveal concerns over insufficient pension contributions

Nearly a fifth of employees do not pay in to their pension, but almost a third of employers contribute over 6 per cent of salaryBarclays Financial Planning conducted a study of 200 UK small to medium sized companies anad found that over half of these employers are concerned their employees are making insufficient contributions to […]

Domestic disturbance

Changing consumer attitudes in Asia will be a key driver of the world economy

Pease super

Amid recent turmoil in world stockmarkets, some markets may have fallen too far.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment