View more on these topics

Innovative fee option on ScotLife pensions

Scottish Life is launching a range of individual personal pension plans that can pay the adviser a fee in a similar way to commission.

The new range, called Individual, allows the adviser to fix a fee with their client at outset which is then paid through the product.

The option means clients do not pay VAT and get income tax relief on the fee they pay.

The new range allows IFAs to select the charging structure they want across stakeholder, personal pensions, executive pensions and S32 buyout plans.

Annual charges vary from 0.4 to 1.65 per cent depending on the charging option chosen. They are further reduced, subject to a minimum of 0.4 per cent, when a client&#39s pension fund reaches £5,000.

The range allows investors to choose between four manager of manager funds run by Escher Teams and 18 external fund links from investment houses, including Fidelity, Invesco Perpetual and Schroders. It also provides access to 20 in-house funds run by Royal London Asset Management.

The launch of the range this month is supported by improvements to Scottish Life&#39s IF@Plus extranet service which will allow advisers and their clients to view transaction histories and fund valuations online.

Individual pensions marketing manager Mark Polson says: “The Individual range has been designed to evolve with industry changes. We carried out a great deal of research among key IFAs when designing the range. Our competitive charging structure, fund range and innovative commission options make us hard to beat.”

Hornbuckle Mitchell Group director Viv Belcher says: “As an IFA that does a lot of fee work, this sounds like a brilliant idea. As far as I know, it is unique. I hope other life offices follow suit.”

Recommended

Carpetbagger Tanner defeated in Portman board vote

Carpetbagger Tim Tanner has been unsuccessful in his latest bid to win a place around the Portman Building Society board table as he was defeated at the society&#39s AGM last week.All four existing board members of Portman, including chief executive Robert Sharpe, were re-elected with strong majorities.In addition to Sharpe, Mark Nicholls, John Roques, and […]

Outside edge

I am not overly impressed with the performance of regulators over the past 15 years.In the early days of so-called self-regulation, they did not tell us that endowment mortgages, stripped of the tax breaks that made them good advice, were questionable. Nor did they identify the problems with pension transfers, opt-outs and non-joiners.They did not […]

Verity&#39s view

Two weeks ago I had the job of chairing a panel session at the ABI&#39s annual conference on Sandler products. One point emerged from the debate with blinding clarity. In the Government&#39s attempt to work out how to extend savings, there is a fundamental problem: basic practicalities.The industry has had some modest success in persuading […]

Standard clashes with ScotEq on EPP transfers

Standard Life has criticised Scottish Equitable for mounting a campaign to get IFAs to transfer executive pension plans to personal pensions.Standard argues that the Government&#39s Green Paper reforms will sweep aside differences between EPPs and PPPs.It argues that only those people who are expecting to die or retire before the Green Paper takes effect will […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment