Nucleus Financial Group is to white-label its wrap for new IFA support firm Paradigm Partners.
The deal, expected to be signed this week, is Nucleus’s first white-label deal and marks a departure from its sole targeting of top-end IFAs.
Neither Paradigm nor its advisers will be taking equ-ity stakes in Nucleus.
Nucleus has just signed up another two IFAs – Lofthouse Gate and Cameron Chase – bringing its total to 10 IFA stakeholder firms.
Nucleus chief executive David Ferguson says: “Once the Paradigm opportunity was presented, if we had not done anything about it, we would not have been doing the right thing by our business or the market.”
Ferguson says this is the only white-label deal being considered at present but he has not ruled out further deals in the future.
He says: “This gives us the option to bring our proposition to the mass market quite quickly, which we might not have otherwise been able to do. Through Paradigm, we could now bring on 100 IFAs a month rather than five or 10 a month, as our core proposition would allow. The core Nucleus offering will not be diluted though.”