View more on these topics

Sesame advisers given six months to change

Sesame Bankhall Group has told network members they have six months to move to its restricted offering, become directly authorised under its Bankhall brand or leave the network altogether.

Speaking at the firm’s annual conference in London this week, managing director Stephen Gazard told delegates: “We have concluded that supporting non-mainstream investment areas, such as agricultural property investments, traded life policies and experienced investor schemes, is unsustainable for us. It carries too much risk and we firmly believe others will conclude the same in time.”

Sesame says it has analysed past business and found that only 32 cases out of 225,000 over the past 12 months would not have been possible under the new restricted propositions.

Gazard adds: “We need to be realistic. Higher risk products increase the likelihood of recompense, so why would we expose ourselves, you and the consumer to these areas?”

He confirmed Sesame “would not be an appropriate home” for advisers that wish to offer “non-mainstream investments”.

The new restricted offering will be known as its ‘Universal’ proposition and will sit alongside Bankhall’s DA advisers and its current restricted proposition. It means there will no longer be any Sesame-authorised advisers offering independent advice.

The firm says advisers will have six months from today to decide to remain in Sesame, move to Bankhall or leave SBG.

Mortgage and protection advisers will not be affected.

Derbyshire Booth managing director Greg Heath says: “It is disappointing Sesame appears to have chucked the towel in so soon after RDR. It has gone for the easy option rather than try to educate clients.” 

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com