View more on these topics

ATS to convert all legacy business to clean funds by year end

ATS managing director Patrick Mill

Alliance Trust Savings has committed to moving all of its legacy platform business into clean share class funds by the end of 2013.

Since January, ATS has only allowed new clients to invest in clean share classes and says it will convert all business across both direct and advised channels into clean funds by the end of the year.

ATS did not disclose the size of its legacy book. 

The Platforum figures show ATS had an estimated £4.05bn of assets under administration at the end of 2012, of which £3.65bn was direct business.

Last month, HM Revenue & Customs ruled platform rebates will be taxed from 6 April, prompting all platforms to look increasingly at clean share classes. 

ATS managing director Patrick Mill says: “We have always been committed to moving to clean share classes, believing they are the most transparent way for consumers to pay for their investments.

“We firmly believe that what is required is a level playing field with regard to annual management charges for funds. There should be a single approach to keep things simple that is easy to understand: in essence, clean should mean clean.”

The Lang Cat principal Mark Polson says: “ATS has always been at the forefront of calling for a clean share-class world and if the FCA moves to ban all legacy payments from 2016 then all platforms will have to do this eventually anyway.

“The majority of ATS business is direct at the moment and a lot of that will be in bundled share classes, so there is a significant amount to be moved into clean funds.”



Providers welcome Govt plans for auto-transfers

Pension providers have overwhelmingly backed radical Government proposals to build a new IT system, paid for by the industry, to facilitate automatic transfers of small pots. However, concerns remain that people could lose out as a result of the reforms if they are transferred from a low-charge to a high-charge scheme. This week, the Department […]

The Technical Quiz: 25 April

To help you to keep up with the fundamentals of tax, retirement and financial planning, try answering these questions . Answers below.

Brokers praise UK’s mortgage directive carve-outs

Brokers have praised UK negotiators for “fighting our corner” and securing key carve-outs from the European mortgage directive on buy-to-let and guarantor mortgages. Final negotiations between the European Parliament, Council of Ministers and European Commission concluded this week and confirmed that UK buy-to-let mortgages will not be regulated in the same way as residential mortgages, […]

MPs call for Lloyds and RBS ‘bad bank’

The Treasury select committee has called on the Government to investigate the pros and cons of breaking up Lloyds Banking Group and the Royal Bank of Scotland and to publish an analysis by June. In its Budget 2013 report, published last week, the TSC said it wants to see an analysis of whether a split […]

Certification guide

Guide: how to… certify your pension scheme

Certification is highly complex and surrounded by a minefield of information and auto-enrolment jargon, which can make it very difficult to understand. However, for many employers it is a necessary process that must be executed successfully.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm