Britannia International, the offshore arm of Britannia Building Society, is widening its reach in the IFA market following the success of products sold by its own IFA arm.
For the last eight years, the provider's structured products have only been available directly or through its two RIs.
The first product to be distributed through IFAs is its optimum growth bond, a structured product offering 105 per cent of the growth in the FTSE 100 over five-and-a-half years.
The bond will mature early with a return of 131 per cent if the index rises by at least 31 per cent after three-and-a-half years.
It is available for investments between £10,000 and £1m although the minimum for existing customers is £5,000. Initial commission is 3 per cent with no renewal.
IFAs welcome the move but say the terms on Britannia's bond can be bettered by more established players such as Lloyds TSB, which offers 110 per cent of the growth in the FTSE 100.
Britannia International client relationship manager Wayne Riches says: “We have been getting calls from IFAs asking if they can introduce new business but until now we could not accept that business.”
IFA Pegasus investment adviser Moriko Kemp says: “Although there are quite a few providers out there, there is definitely a place for products that are not bog-standard.”