AJ Bell plans to launch a model portfolio service in 2016.
Chief executive Andy Bell says the firm will ultimately use the model portfolio service to develop its own range of funds.
“It will be a low-cost passive service with some active overlay,” Bell says.
“Our aim is to offer a service that is fully integrated with the platform so it will be easy for advisers to use and based around passive investments so it will be highly attractive from a cost perspective.”
Bell says the platform is not looking to develop direct client relationships and will not be offering active management.