Skandia is warning advisers to consider platform providers’ exit strategies as part of their due diligence process ahead of likely consolidation in the market.
It says platforms will be forced to reassess their original structure, leading to mergers, acquisitions, stockmarket listings and possibly even closure.
Platform marketing manager Jeremy Mugridge says: “Advisers need to consider what impact these scenarios would have on clients’ investments. If they have selected a platform because it is independent, how will they feel if it becomes part of a traditional life company?
“Companies may proclaim to be 100 per cent adviser-focused but they all have vested interests and future ownership structures are far from certain. This has to be a consideration for any adviser.”