The deal will kick off with the introduction of a new capital gains tax offering through the use of the Praemium’s own business engine.
The CGT engine is seen by Praemium as a key part of its V-Wrap, which launched back in 2002 and now has some 25,000 accounts from some 350 financial services providers.
Cofunds say the decision to enter a memorandum so soon after the UK Government announced intentions to make numerous changes to CGT emphasises the faith it has in it’s Australian counterpart, and the firm will look to add it a number of tools and seperately managed accounts (SMAs) across the platform at a later date.
Cofunds Andy Creak says: “With the forthcoming proposal to change Capital Gains Tax, professional advisers willl be rethinking and exploring the tax strategies which are appropriate for their clients. We believe the new tools we hope to develop with Praemium will provide a very valuable addition to our service offerings.
“Of course discussions on the tax changes are still continuing but we are sure Praemium has the capability to react accordingly and deliver timely solutions.”