View more on these topics

Deal won’t impinge on independence, says Gale

Sesame chief executive Patrick Gale is reassuring members that the Friends Provident deal will not compromise their independence.

He says product provider ownership of distribution is a consequence of adviser businesses’ capital requirements and is becoming increasingly common.

Gale says: “Insurance companies are taking more stakes in IFA businesses and I think it is a natural consequence of the large amount of capital required to run distribution businesses, recognising that is where the value lies in the chain.

“Being owned by a provider will not have an impact on our independence.”

Some members have expressed concerns about being owned by an insurer.

Iredale Financial Advisers partner Frank Iredale says: “FP seems ethical enough but I have concerns about independence as I have always taken pride in telling clients I have no links to a bank or insurance company.”

Watermark Financial Services partner Mark Woods says: “This has been a long time coming. Sesame has been a sinking ship for ages now. I have left the network and just buy services but only because they make it almost impossible to go elsewhere. Sesame does not operate at competitive costs for services and I would hope Friends Provident will address that by making some cost-cuttings on management salaries.”

Shropshire-based IFS principal Rosemary Heaversedge says: “Overall, we would prefer not to be owned by a provider but the proof of the pudding will be in the eating.”


Luxury or necessity?

Which? took a controversial line on critical illness insurance this month by calling it a luxury product.

FSA to recognise industry guidance for first time

The FSA has confirmed supervision of outsourcing by firms will now take account of industry guidance issued by trade group Mifid Connect, the first time industry guidance has been used in this way.The guidance covers so-called “common platform” FSA firms, which are those subject to Mifid and/or the Capital Requirements Directive. This is the first […]

Friends Prov buys Sesame

Friends Provident has bought Sesame for around £75m and high net worth IFA firm Pantheon for £16.8m plus further payments over the next three years depending on performance.Friends Prov will take on all past liabilities for Sesame as part of the deal which will see it acquire 100 per cent of the firm.Pantheon has around […]

Honest opinion

Recruitment consultants do not like my being frank with clients.

Europe: why persist with value today?

By Rob Burnett, Neptune’s Head of European Equities The Neptune European Opportunities Fund remains committed to a value bias. We see a broadening array of opportunities in diversified industries at compelling valuations today. The most complicated part of the market is the European banks. We are currently overweight in this sub-sector as many banks are […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm