True Potential has launched an auto-enrolment proposition charging up to 0.74 per cent.
In March, the company launched ImpulseSave, a facility that allows ad-hoc saving and investment contributions starting at £1. Following FCA approval the platform is now offering a solution for employers setting up schemes for auto-enrolment under True Potential’s group Sipp.
The launch follows growing concern competition at the small end of the auto-enrolment could be constrained as The People’s Pension considers an extra employer charge and Now: Pensions faces criticism over its administration services.
Employers have a choice of default investment funds provided by Legal & General Investment Management, charging between 0.71 and 0.74 per cent. Members also have a choice of 30 funds that exceed the Government’s auto-enrolment 0.75 per cent charge cap.
True Potential is offering advisers a one-off profit share payment, equivalent to £4 for every £1,000 invested, paid once the scheme has been set up for 12 months.
Finance & Technology Research Centre director Ian McKenna says: “What differentiates this proposition from other auto-enrolment suppliers is the way in which scheme members can interact with the service. Each individual member has access to their own information and investments via mobile apps which can operate on a range of devices.”