View more on these topics

NU continues to back initial commission for GPP schemes

Norwich Union has reaffirmed its support of the payment of initial commission on group personal pension schemes.

Head of pensions marketing Paul Goodwin says that, despite the market changing through the introduction of personal accounts and the retail distribution review, initial commission can still be as profitable as the fee-based option.

He says: “Norwich Union remains supportive of the payment of initial commission for GPP schemes where it suits an advisor’s business model and meets our profit targets. The initial commission market is as profitable as the fee-based market, as long as schemes are priced with the level of sophistication that we employ.”

The announcement follows Axa’s decision to withdraw initial commission from its corporate pensions products as it moves to a fee-based model.

The firm also believes that initial commission helps broaden retirement savings as employers are not keen to meet the full cost of advice for GPPs.

Recommended

New wave of rights issues

Credit Suisse UK mid-250 fund manager Justin Jordan believes we are only halfway through a surge of rights issues in the UK market.

Adviser Fund Index

Merrill Lynch global fund manager survey data for March indicated a sharp upturn in investor sentiment. The poll showed managers at their most bullish on the prospects for economic growth since December 2005.

Choose life…

Sarah Scott  – Marketing Consultant, Royal London  This month sees the return of Renton, Sickboy, Begbie and Spud in the sequel to the film Trainspotting. Just over 20 years later, we return to see exactly how life treated the characters whose lifestyle was less than ideal back in 1996. Did they choose a job, choose […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com