But with Resolution on the verge of acquiring Friends Provident, it is questionable whether a strong focus on distribution will fit with Clive Cowdery’s future vision for the company.
In June 2009 Sesame announced it was in discussions with Skandia to acquire Bankhall and Premier Mortgage Services.
Sesame sales and marketing director Steve Young says the recent loss does not reflect on Sesame’s ability to acquire the two firms.
He says: “We will fund the Bankhall deal entirely on our own reserves.”
The takeover, which is currently going through due diligence, is expected to result in a 3,000-strong appointed representative network and a service business supporting over 1,500 firms.
Young says he cannot disclose the company’s current financial position, but insists that Sesame is on track to make a profit in 2009.
But SimplyBiz chairman Ken Davy says: “It is hard to see how Sesame and potentially Bankhall will be relevant to what Cowdery is looking to achieve in the long term.”
Do you think Resolution will look to nurture a large distribution arm, or will it focus more on the life and pensions market?
Is the deal likely to have an impact on IFAs in terms of a potential reduction in service standards for advisers?
Post your thoughts below.