I have been reading with interest all the wrap articles in the press and there is no doubt that this is becoming a hotly debated subject, with both positive and negative views being put forward.
I am a strong believer in wrap technology and we have our own bespoke and branded wrap, powered by Standard Life, which assimilates perfectly with our N&G private client service and our high-net-worth client profile.
The wrap combines an administration platform and a transaction platform, putting us firmly in control of the admin of our client’s investments and eradicates our clients from suffering the increasingly poor service levels offered by most life companies.
The wrap provides the ability for us and our clients to view all their investments live, across all tax wrappers, including legacy investments, in one place. We already work on a client-agreed remuneration basis through the wrap, which fits firmly with our future as professional financial planners under the retail distribution review, and the treating customers fairly principles.
Our wrap is cost-effective for our clients and for our ultra-high-net-worth clients there is a clear cost saving due to the big wrap discount.
Our wrap is not yet perfect and there are things we would like improved, such as a facility to regularly sweep dividend income to a client’s wrap cash account.
However, we have a fantastic team of people supporting us at Standard Life and are privileged to have high-level, interactive dialogue with the devel-opers, which means that requirements like this are already in hand.
I believe that fund supermarkets have their place and these are fine for smaller clients and transactional business but we believe that wraps are the panacea for delivering sophisticated, high-level advice and service to high-net-worth clients.
Ultimately, the wrap provides a fantastic platform to efficiently and cost-effectively deliver our ongoing service and advice to clients. We are very proud of our wrap and to be able to offer our N&G private client service through one of the most advanced platforms available in the market today.
Peter Montague is managing director of Newton & Garner Investment & Pensions