Platform providers need transparency of proposition and charging structures, says Defaqto report.

April 7, 2008 | posted by Chloe Cottam in Insight, Investment, Press Release | comments (0) |

Despite assurances from market players about the transparency of their propositions, some IFAs claim that platforms are too expensive and that they still struggle to understand the concept, according to a report recently published by Defaqto.

The findings from the review of the adviser platform market coincide with the FSA’s feedback on its platform discussion paper. This highlighted concerns over the complexity, cost and training issues relating to the use of platforms.

Defaqto’s report, entitled: ‘Adviser Platforms in the UK 20081 - Stand and Deliver’, includes results from a study of IFAs conducting investment business. The study found that among the reasons given by IFAs for not adopting platforms were that there was not enough awareness of either their functions or of the available products.  Other reasons were that platforms required to be fully understood by clients before they would request them, while some IFAs simply thought that they were too expensive.

Matt Ward, Defaqto’s Principal Consultant for Pensions & Wealth Management, stated that: “Although it is acknowledged that platforms should be seen as a service it does not preclude providers from putting together marketing and support material which clearly defines the capability of a proposition and details the component parts. Clearly, more work needs to be done in getting the ‘platform’ message across to IFAs, and this needs to be followed up with ongoing support.”

Further, Ward comments: “Advisers also need to be in a position to compare and contrast propositions ahead of further adoption considerations for their practice and the fact that this process is not currently a straightforward one does not reflect well on the market.”       

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Notes to Editors:

1The report ‘Adviser Platforms in the UK 2008- Stand and Deliver‘  is on sale priced £1,200 excluding VAT for a PDF version and £595 (No VAT payable) for a single printed copy. For further information please contact Chris Johnston on 01844 295457, or the Sales Department on Freephone 0808 1000 804 or visit http://www.defaqto.com/

For further information contact:

Defaqto Limited          

Matt Ward, Chris Johnston or Luci Mylward

01844 295 454

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More Defaqto’s Aequos Engage licences for Compliance First

February 13, 2008 | posted by Luci Mylward in Press Release | comments (0) |

Under a move extending the current agreement, Defaqto will provide further licences of Aequos Engage, its product selection and report system, to Compliance First members.The new arrangement will enable Defaqto to extend the usage of Aequos Engage within this fast growing service provider based mainly in Scotland. Already Compliance First’s preferred supplier, Engage provides the clients of Compliance First not only with a highly effective  product selection tool, but complements Compliance First’s emphasis on service and its commitment to Treating Customers Fairly through its full suite of compliance reports.

Commenting of the situation, Neil Stevens, Managing Director, Compliance First said:” We are very pleased to announce that we will be taking additional licences of Aequos Engage as this will extend the quality of research that our Client Firms can offer. Our experience with Defaqto’s Engage has been entirely positive and we look forward to the future with added confidence.”

Commenting for Defaqto, Roger Perry, Adviser National Accounts Manager said: “It’s always a pleasure to receive a customer endorsement in this way. But this is not only a vote for the product itself, but one for the training and support staff that have worked so hard to make Engage a success.”

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For further information:

Defaqto Limited

Roger Perry or Chris Johnston

01844 295 454

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