View more on these topics

Standard pledges to keep its &#39jewel&#39

IFAs are questioning the size of Standard Life&#39s broker consultancy salesforce in the wake of falling with-profits sales.

Bankhall director of provider management Jonathan White believes Standard is unlikely to be able to sustain its large salesforce without strong with-profits sales, saying it will have to work harder to focus on its productive IFAs and to manage its relationships with others cost-effectively.

John Scott & Partners investment manager Patrick Connolly says across the industry, life companies have moved to cut salesforces and suggests that if Standard does demutualise it will have to do the same.

Standard managing director of sales Nathan Parnaby rejects the idea of cutting back its 370-strong broker consultancy force. He stresses it expects there to be an upturn in business in the second half of this year and into next year.

White says: “Indications are that it may cost up to £300 per call to put a broker consultant in front of an IFA. As a plc or a mutual, surely this is not sustainable?” Parnaby says: “Our IFA salesforce is the jewel in our crown and we have invested heavily in it and our long-term relationships with IFAs. We have seen the benefit of having a large salesforce and support from IFAs remains as strong as ever.”

Recommended

Homeowners Friendly Society offers new life plan

The Homeowners Friendly Society is targeting UK residents aged between 50 and 75 with its friendly life cover plan. The guaranteed acceptance life insurance plan can be used on death to help pay outstanding debts or to pass on a tax-free lump sum to loved ones. For a monthly payment of £16, a female non-smoker […]

Nationwide shaves fixed rates and tracker loans

Nationwide Building Society has made slight reductions in the rates on its fixed-rate and tracker mortgages. Its two-year fixed rate goes down from 4.81 per cent to 4.79 per cent while the three-year fix rate is cut from 5.11 per cent to 5.09 per cent from 5.11 per cent and the five-year fix from 5.31 […]

Liberty Ermitage – Diversified Strategies Fund

Type: Hedge fund of funds Aim: Growth by investing in a portfolio of between 80 and 100 hedge funds Minimum investment: $50,000 Place of registration: Cayman Islands Investment split: 100% in hedge funds Charges: Annual 1.5%, performance fee 15% Commission: Subject to negotiation Tel: 01534 615500

AIFA&#39s view

By the time of my next column, we should have the FSA consultation paper on the menu concept. Pages of FSA-speak and draft rules by the bucketload for the compliance-minded. What excitement. In all this plethora of detail, the big picture could so easily be overlooked. The menu was created (by Aifa, I admit. I&#39ll […]

Sub-Saharan Africa Near-Term Outlook

By Paul Caruana-Galizia, Neptune Economist

Sub-Saharan Africa’s economic renaissance continues. After growing at an average rate of five per cent over the past decade, the IMF projects an acceleration to 5.5 per cent growth among Sub-Saharan economies in the next two years, as developed economies emerge from the crisis. We expect this growth to be sustainable for three broad reasons.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment