Chief executive Peter Brodnicki says it will use the thousands of leads provided by the mortgage and protection business to identify clients who may need further advice. He says: “Our objective is to farm that data and create an IFA arm for pensions and investments.”
The new arm, due to launch in early 2009, has not been named but will operate under a different brand from the mortgage business.
Brodnicki says he expects some of MAB’s brokers to expand into these new areas of advice. He says: “Those with the appetite and opportunity to expand their business by taking on advisers experienced in this area will handle their own leads. Others will not but they can introduce those people and get some form of income from it.”
Money Partners director of communication Bob Sturges says the move into fully regulated advice may prove difficult for smaller brokers although it could work for MAB.
Sturges says: “It is a very sensible move. I think a well organised, well structured business should have little difficulty moving across.”