Royal London has sold the client book of its online fund supermarket, Fundsdirect, to direct-to-consumer investment platform Strawberry Invest for an undisclosed sum.
Through the deal, £15m of client assets will initially transfer to Strawberry but this will increase to £21m over the coming 12 months.
Additionally, over 400 clients will transfer to the D2C platform, with this number potentially rising to 800 within a year.
Existing clients transferred from Fundsdirect will on average benefit from a 12.5 per cent reduction in costs, Strawberry says.
Fundsdirect was launched in December 1999 and operates under the Ascentric brand.
Strawberry Invest managing director James Priday says: “We believe that Fundsdirect is a great fit with Strawberry and we are pleased to be able to offer clients an enhanced platform and level of service.
“We remain committed to offering a simple and low-cost way for investors to save money and this deal with Fundsdirect further strengthens our commitment to this goal.”
Fundsdirect managing director Jon Taylor adds: ”The sale of Fundsdirect represents a good outcome for our clients who will benefit both from Strawberry’s great pricing and their excellent range of online tools and services. From our perspective the sale allows us to be completely focussed on delivering the best possible service to our clients in the intermediated market.”