In last week’s Money Marketing, Ed Fairey criticised the wrap provider for saying it would stop commission payments after he left Helm Godfrey to set up Fairey Associates.
For Fairey to be granted an agency to service his clients’ portfolios and continue receiving commission, Nucleus said he would have to pay £15,000 to £20,000 to buy a shareholding and become a participating member.
Nucleus now says that, provided Fairey gets permission from clients, he can receive trail for six months to give him time to decide whether to keep them on the wrap or move them off.
In an email to Fairey, Nucleus says it is bending over backwards to help him by amending its processes.
Fairey says: “Fortunately, my clients’ assets are held in Oeics, unit trusts and Isas but what would happen to clients of an IFA who invested in an offshore bond in which substantial gains were made?”
Nucleus chief executive David Ferguson says: “We would make sure the client was not disadvantaged by keeping the bond with the provider so the client could hold the assets on another platform within that wrapper.”