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Openwork set to buy 2plan Wealth Management

Openwork is to acquire 2plan Wealth Management in a bid to build its whole of market IFA capability ahead of the RDR.

The deal, which is subject to regulatory approval, will see the multi-tied network acquire 100 per cent of 2plan, which has 205 advisers.

Openwork chief executive Martin Davis says he would like the number of IFAs to triple ahead of the RDR.

He says: “We would like to see 2plan with 500 to 600 advisers in the next couple of years.”

Prior to the deal Standard Life owned a 15 per cent holding in the IFA, which was launched by Chris Smallwood and Chris Davies in 2007.

2plan is to continue operating as a standalone business and the branding will remain. Openwork’s referral service, Openwork Market Solutions, will also remain unaffected.

Davis says while there will be no personnel lock-ins in place within 2plan, there will be incentive schemes to keep key people in place at the firm.

He adds that Openwork advisers who wish to become whole of market can move across to 2plan.

Davis says: “We want to provide our advisers with the option to move into the IFA market if they want to. In the post RDR world we think there will be a move from the IFA world to restricted advice and as the biggest restricted player in the UK we want to give advisers the option to become independent as soon as possible.”

2plan Wealth Management chief executive Chris Smallwood says: “It became obvious that our future strategies with Standard Life were becoming misaligned.

“We are a young ambitious firm that has only been trading for three years and we think we have found a partner that will offer us support to help us grow faster than before.”


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There are 5 comments at the moment, we would love to hear your opinion too.

  1. Money for old rope for these guys. Davis statement is a contradiction in terms and does not make sense, guess thats why he is running the business!!!

  2. I suspect we will see more of this type of event in the run up to 2013. Consolidation at all levels within the intermediary community continues but we will also witness some RDR ready firms being acquired to speed up the change of those firms not yet ready.

    The combination of a whole of market IFA firm and a restricted advice firm is going to generate some fascinating dynamics it will be very interesting to see if it works out

  3. Great news for Openwork and 2Plan, and good to see a network taking the lead and grabbing the opportunities that RDR will through up with both hands – Today’s news leaves Openwork well poised to lead the way in the race for dominance – playing in restricted advice and IFA will cover all the bases – A great platform to build on.

  4. Not sure that Openwork leads the way just yet – but good to see it in a more dynamic mood at last.

  5. Looks like someone has had too many many rose tinted glasses at lunchtime.

    The two businesses are structured differently, one an AR network the other a National IFA, so difficult to cross fertilise.

    2Plan has a great system, but it will not work in Openwork so they will still have to use paper. Also means the business is running two compliance and processing systems.

    Finally, will buying a low profit IFA fill the hole caused by losing some very profitable multi-tie advisers to Carby?

    Great platform or Deepwater Horizon?

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