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The heart of the matter

As a relatively new business, we have watched the launch of wrap propositions with interest and just before Christmas began a fact-find exercise followed by detailed due diligence on our short list of wrap providers.

Our core values are based on transparency, trust and value for money, so the two key elements of the benchmarking had to be cost-effectiveness and transparency of costs for clients.

After some serious deliberations, we opted for Nucleus. As a start-up company, it does not have the bells and whistles – as yet – of some of the other propositions but as an adviser do I want clients paying for bells and whistles they may never need? No, not really.

What I want and what Nucleus provides is access to all the tax wrappers (Isas, Peps, pensions, bonds and so on). It also allows me to hold whichever fund I deem suitable for my clients. Nucleus does not dictate my fund choice because it cannot negotiate undisclosed payments for itself while calling its service “free”.

Finally, I can buy funds at net cost, that is, a nil or very small bid/offer spread and a typical annual management charge of 0.75 per cent.

In terms of administration, Nucleus makes our life simpler. There is a simple application process and we can undertake fund switches and rebalancing quickly and efficiently. Clients can have access to their portfolios.

This is what I call beautiful – simple to use for us, yes, but great value and no hidden costs for our clients.

This is the shape of things to come and I do not have one moment’s hesitation in recommending Nucleus to our clients or other IFAs.

Anna Sofat is a director at AJS Wealth Management.

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