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Intrinsic adviser incentive plan to wind up in April

The incentive plan at Intrinsic which sees its advisers rewarded for amount and quality of business will finish in April.

Money Marketing understands the long-term incentive plan monitors the volume of business placed with the wider group.

The Quilter-owned restricted network paid £900,000 worth of incentives for the year ending 31 December 2017, in which it also reported operating losses of £15.1m.

Speaking to Money Marketing, Intrinsic chief executive Andy Thompson says the incentive system is a carry-over from when the former Old Mutual Wealth first acquired Intrinsic.

The incentives are specifically structured to encourage adviser productivity and advice quality, he says.

Advisers receive pay outs in April each year if they met the terms of the incentive plan.

He says: “The incentives were linked to the advice contribution and the amount of revenue we retained [and] is there to encourage advisers to stay with the network and to grow their business and to deliver great customer outcomes.”

Intrinsic chief: Advisers must become their own champions in 2019

Thompson denies the structure of the long-term incentive plan was linked specifically to the amount of business Intrinsic advisers brought into Quilter:

“You could be an adviser who does not put any money into Old Mutual solutions and another could have put 100 per cent in and there wouldn’t be any difference in the level of incentivisation received, assuming their quality was equivalent.”

Intrinsic says advisers were made aware the incentive plan would finish this year from its offset.

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  1. “Intrinsic says advisers were made aware the incentive plan would finish this year from its offset.” Yes, we were. We all knew it was finishing. We knew it at the start and at the end so what Intrinsic said was correct and there was no real need for the dangling final sentence carrying the faint whiff of potential impropriety.

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