Avelo is planning talks with insurers after advisers raised concerns about the low number of pension quotes being provided by the technology firm when an initial and ongoing adviser charge is levied.
Fund Management Ltd IFA Ian Head contacted Avelo on 4 February after experiencing problems using its online quotation portal.
He says pre-RDR the system would deliver up to 12 quotes from different pension providers on an initial and ongoing commission basis.
However, Head says the portal now delivers far fewer quotes when the adviser is levying a combination of initial and ongoing adviser charges.
Head says: “I think a lot of advisers will want to levy a combination of initial and ongoing adviser charges, so it seems to me incredible that Avelo cannot deliver illustrations based on this model.”
Avelo says the problem stems from the product providers it relies on to supply quotes for advisers.
Avelo portal business manager Sue Chapman says: “People can select initial and ongoing adviser charging on our portal but the number of providers who are returning quotes on that basis is very limited. Our expectation during this year is that providers will make more products available.
“This issue has been pointed out by a number of advisers and we will interrogate our own management information and get feedback from advisers on this. In parallel, we will be speaking to providers and asking why they are not producing quotes on a combined initial and ongoing fee basis with a view to encouraging providers to offer better product support to advisers.”