View more on these topics

Inter-Alliance not permitted to do UK Sipps

The FSA has updated its register to clarify Cyprus-based firm Inter-Alliance Worldnet Insurance Agents and Advisors is not permitted to conduct Sipp business in the UK under its passport.

The firm has submitted Sipp business to providers such as Hornbuckle Mitchell and Curtis Banks through its UK branch. Both Sipp firms have ceased dealing with Inter-Alliance and arecommending that clients introduced to them through the firm should appoint a new IFA. Neither firm is levying Sipp admin char­ges on these clients. Both firms say they are satisfied with their due diligence on the firm.

A recent update to the firm’s entry on the FSA register states the firm’s UK passport only covers the Insurance Mediation Directive and therefore Inter-Alliance has agreed not to submit any furtherSipp cases.

The register says: “The FSA has not imposed any formal requirement on Inter-Alliance Worldnet Insurance Agents and Advisors Ltd’s inward branch passport.
“Inter-Alliance Worldnet Insurance Agents and Advisors Ltd voluntarily agrees not to carry out the activity of advising on or arranging deals in personal pensions schemes – conducting Sipp business – on the basis that its authorisation pursuant to the Insurance Mediation Directive passport does not permit it to conduct such business.”

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There is one comment at the moment, we would love to hear your opinion too.

  1. Why is the FSA sitting on teh fence on this? This is not helping consumers at all!!! We have a client who has lost a lot of money as a result of the advice to move to a Sipp, the fees charged and the loss on the fund. There are also significant exit penalties. If Inter Alliance were not authorised to do this business, the FSA needs to say so and they should then take formal action to impose a ban on Inter Alliance selling Sipps. This would then assist a client with a complaint as the firm will have done business that it shouldn’t. On the other hand, if Inter Alliance were authorised to do Sipps the FSA should again say so so that the client knows where he stands and what avenues of redress are then open. This just creates confusion and ambiguity. Come on, FSA, show some clear leadership on this matter.

Leave a comment