Old Mutual Wealth-owned network Intrinsic says it has no “programme” to de-authorise members amid speculation it is seeking to axe those it considers risky.
Money Marketing understands from a source close to the firm that the network is looking to cut underperforming advisers that are deemed a risk to the business.
Intrinsic has 3,300 advisers and is set to expand following the acquisition of financial advice network Caerus in February.
The source said that the size of the network meant that risks could arise within it. Caerus has more than 300 advisers.
Managing director of Intrinsic’s wealth network Steve Fryett says: “The network has a duty of care and a responsibility to advisers, customers and other stakeholders to monitor customer outcomes and ensure firms are meeting the highest possible standards of customer protection.”
“Where risks are identified it is the network’s responsibility to work with firms to help them achieve the required standards. Our intention is to grow the network and there is no structural programme to de-authorise any firms, however the network cannot authorise firms that do not meet expected standards.”
Intrinsic mooted plans to vet its advisers’ paraplanners to ensure they met a “quality kitemark” last year, but dropped the proposals after finding they were satisfied the paraplanners met the required standards.
Sesame Bankhall Group managing director Stephen Gazard is to join Intrinsic in the newly created role of group managing director this year.