National IFA RSM Tenon Financial Management has launched restricted advice proposition Link2wealth, predicting around a third of its 15,000 clients will move to the new service.
The new venture will feature an execution-only offering powered by the Cofunds platform and a telephone-based service providing advice on ISAs, stakeholder pensions, general investment accounts and life insurance.
It is a separate company to RSM Tenon Financial Management, with four ex-bank advisers on its staff. Link2wealth is set to recruit two more advisers for its launch stage, with more recruited as the company grows. RSM Tenon said it would move around 700 clients a month from its independent advice arm to the restricted offering.
John Porteous (pictured), head of wealth management at RSM Tenon, said the group was committed to independent advice in its financial planning arm but recognised the need to cater for clients at a lower cost.
‘There is a segment of clients for whom either the cost of financial planning is too expensive or the proactivity of financial planning is not what they’re after.
‘Link2wealth will advise you in a narrow range of products and services. That might just be the basic stuff but when you look at the statistics, it’s what the overwhelming proportion of people consumes.
‘We’ve built a service model so they can have access to good basic advice but referring them for independent advice in the event that they need it.’