Standard Life has opened the door to acquiring rival platforms if the opportunity arose, including taking on the assets of platforms leaving the market.
Speaking to Money Marketing, head of platform propositions David Tiller says the business is satisfied with current platform growth, which according to The Platfoum saw assets under administration hit £18.12bn in Q3.
Tiller says: “We are not actively seeking buying a platform but clearly if opportunities exist we would have a look at them.”
He admits any future acquisitions would not be straightforward. He says: “There may be acquisitions but it is fraught with difficulty and risk in terms of understanding what you are buying, how much of the assets will be retained and how much technical synergy you can achieve.”
He says Standard Life could look to acquire assets as existing platform providers leave the market.
Tiller believes the FCA’s push to develop an industry standard for re-registration of platform assets was designed to insure against the risks posed by a platform leaving the market.
He says: “The regulator is putting a lot of focus on re-reg.
“My view is that is less to do with the free flow of assets and more to do with the best mechanism for getting assets off a platform should it go down.”
Plan Money director Peter Chadborn says: “There is a balance in choosing a platform with enough financial strength to keep you comfortable but without it being a proverbial oil tanker.”