Curtis Banks has said levels of new Sipps at the provider have dipped in the last year as advisers become more wary of falling foul on defined benefit pension transfers.
While Curtis Banks still set up more than 3,500 new Sipps in the six months to June, this is down from 4,500 over the same period in 2017.
Its results released this morning read: “Across the industry there has been a widely acknowledged slowdown in new pension transfers largely considered to be caused by the wider economic uncertainty. More specifically we have seen some advisers retrench from the pension transfer sector where elements of their business were exposed to defined benefit transfers as well as increased regulatory scrutiny of all regulated transfer activities.”
Sipps are still “the product of choice for pension transfers”, the firm says, driving strong overall growth in the Sipp market.
Curtis Banks says it will not take clients on an insistent client basis or transact with unregulated introducers.
Having purchased Suffolk Life in 2016, Curtis Banks says “consolidation opportunities are still present” as Sipp operators faced continued regulatory pressure and increased capital requirements.
The results read: “Acquisitions of Sipp businesses are becoming a more competitive process, but we continue to believe that attractive opportunities still exist and we remain the most experienced acquirer in the market place.”