Suffolk Life has stopped actively investigating acquiring other Sipp providers due to concerns it is too hard to weed out “unacceptable assets”.
Strategic partnership director Chris Jones, who led the acquisition business, has decided to exit the company following the decision to focus on organic growth.
The firm has made four acquisitions of Sipp back books over the last three years but found targets “cannot be assessed to our satisfaction or [aren’t] aligned to the type of business that we’re prepared to accept”.
Managing director Will Self says: “During some of our previous acquisition work, it became clear that no matter how forensic the pre-due diligence we would still find previously unknown and often unacceptable assets within plans, ultimately leading to us having to refuse some transfers and disappoint the investor and adviser.”
Suffolk Life runs 25,000 Sipps, valued at around £8bn.