Cofunds is piloting its new suite of services for fee-based advisers and will roll out the service over the next few months.
The programme includes setting up its cash account, which will link to the client’s bank or building society account. Cash will be deposited electronically or manually via cheque into the account and from it settlement will be made for investments into any fund or tax-wrapper and put an amount aside for fees agreed with the client and the adviser.
The cash account will also be used to collect all payments of income or realisations of capital which the client has requested, including dividends, income drawdown from Sipps auto-withdrawals from Isas or bonds and encashments of funds.
These services will be available to al clients whether their adviser is commission or fees-based.
Cofunds will also provide for a flexible menu of adviser remuneration options for fee based firms who will be able to use commission offsets or combine fees and commission offsets.
Cofunds intends to continue to charge assets managers whose funds are on the platform rather than follow the more complex route of obtaining rebates paid to the client and then clased back from them in fees.
Managing director Andy Creak says: “This is another major step in our strategy to support all types of adviser with the products and services which they want to use for their clients.
“We will be adding functionality at a measured pace starting with a limited number of firms and building up volumes in a controlled way. It is essential that every element is thoroughly road-tested before we open up to the whole market.
“We are proud of the service standards we have achieved and we will not take any risks to the integrity of our customer processing in the pursuit of over rapid expansion.”