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IFAs berate supermarts over Isa and Pep claims

IFAs have criticised fund supermarkets Cofunds and FundsNetwork for advertising Isa and Pep consolidation without having some of the biggest companies signed up to the service.

IFAs are concerned that both supermarkets continue to market a consolidation service despite Cofunds not having access to Fidelity and Jupiter not being available through FundsNetwork.

As both fund managers are among the biggest in the UK, IFAs claim the platforms should make it clearer that big parts of the market are beyond their reach.

Advisers believe that with consumer faith in the industry at such a low ebb, it is a bad time for firms to be advertising services they cannot necessarily deliver.

Hargreaves Lansdown head of research Mark Dampier says: “Both advertise the consolidation but have little realistic chance of doing it properly when they are missing such large parts of the market. They are just raising client expectations, then not being able to fulfil them.”

Simpsons IFA partner Andrew Merricks says; “The fact that they can&#39t cover the whole market takes a lot away from their proposition and their independence.”

FundsNetwork spokeswoman Jo Roddan says: “While we do not have all providers on the platform, we are trying to get the process started with IFAs and their clients.”

Cofunds chief executive Clive Boothman says: “We would be happy for Fidelity to be on the platform but we can make a pretty good start at consolidating most of investors&#39 affairs as it is.”

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