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Sandler launchpad for Asda&#39s entry into market

Supermarket giant Asda is planning to launch into the UK retail financial services market on the back of Ron Sandler&#39s review.

While not giving any details as to when it hopes to launch or with what products, the grocery chain says Sandler&#39s recommendation of a “stakeholder” family of products has provided motivation to build a presence in the market.

Asda will go head to head with rivals Tesco and Sainsbury which both have a financial services presence.

Sandler told the Government that a possible solution to getting more people to save is the launch of a series of safe haven products not requiring advice or regulation which he says can literally be bought off the shelf.

Asda&#39s decision appears to confirm Sandler&#39s belief that there is a market for these simple-style products. While it has not gone as far as saying it would adopt these products if they came to market, the announcement must be considered timely.

Tesco Personal Finance and Sainsbury&#39s Bank have broadly welcomed the rep-ort, refusing to comment on safe haven products, although Sainsbury&#39s has no intention of launching any investment products at this time.

An Asda spokeswoman says: “We do plan to launch into the selling of financial products. The development of that sector is still ongoing. We are very aware there is a gap we believe we could fill. We hope we could offer something innovative to the market.”

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