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Standard Life chief: RDR is a once in a lifetime opportunity

by Jun Merrett on Nov 27, 2012 at 12:35

Standard Life chief: RDR is a once in a lifetime opportunity

The retail distribution review (RDR) has provided a once in a lifetime opportunity to reshape financial services, according to Standard Life UK chief executive Paul Matthews.

Speaking at the Association of British Insurers (ABI) conference on the retail distribution review (RDR), Paul Matthews (pictured) said the improvements in technology, professional standards and transparency that the RDR would bring meant advisers and providers had never been in a better position.

‘I see the changes being made by the regulator as a once in a lifetime opportunity to re-shape our industry to deliver outstanding outcomes for customers,’ he said. ‘But we need to work together.’

‘We are at a crossroads. We can work together to deliver greater access, engagement and value for consumers, but if we allow self-interest to dominate and do not grasp this once in a lifetime opportunity, the results for all, particularly the customer, will be extreme for some sections of society.’

9 comments so far. Why not have your say?

Jonathan Kirby

Nov 27, 2012 at 13:50

Grasping our clients perhaps?

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Dan Rear

Nov 27, 2012 at 13:59

This pre-supposes Retail Financial Services needed re-shaping in the first place...

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John D

Nov 27, 2012 at 14:24

@Jonathan.

Exactly!

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Charles Rickards

Nov 27, 2012 at 14:31

RDR is a massive cost saving for providers, why wouldn't they be pleased? No more distribution costs. I note that the difference between pre and post RDR chargingg structures does not necessarily reflect the cost savings made by withdrawing commission!

RDR will be a worse deal for many clients, based on what I have seen so far.

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Nick H

Nov 27, 2012 at 15:21

@ Jonathan and John

We have also started to sense a Std Life 'agenda' where self-interest very much dominates. And where theres smoke...

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David Ferguson

Nov 27, 2012 at 15:57

Why was regulatory intervention required to create the opportunity to deliver outstanding outcomes? Weird.

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Confused

Nov 27, 2012 at 20:35

Charles - I agree, but...

....no distribution cost might very quickly translate to no distribution!

I think life companies have a much bigger problem with RDR than us advisers.

We've been RDR ready for a few years now and work mainly on a fee basis, the amount of times we side-step the 'insurance industry' altogether is increasing and makes me think in 10 years time there will be fewer insurers around and a lot more innovative players out there.

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Julian Stevens

Dec 04, 2012 at 11:46

On the strength of Standard Life's actions over the past three decades (as long ago as the mid-80's it was direct mailing IFA clients about other services and products), I imagine it sees the RDR as a great opportunity to give IFA's a final great shafting and cut us out of the loop altogether, certainly as far as any further remuneration is concerned. Well, f*** you Standard Life.

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Chris Miller

Dec 04, 2012 at 12:07

This joker, Matthews has no concept of the IFA's life at the sharp end. Coupled with a load of techno babble, no doubt he'll do very well at Standard Life in his cosy coccoon.

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