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Standard Life to review advisers' wrap discounts
by Jun Merrett on Jul 22, 2013 at 12:34
Standard Life is reviewing the terms of the discounts it gives advisers using its wrap.
The company currently offers large adviser firms discounts on its wrap pricing structure but is looking at reviewing these terms under plans to simplify the platform’s charging structure.
Currently IFA firms with over £10 million on the wrap can get a 5 basis points (bps) discount on the first £500,000 of a client’s holding and firms with over £20 million get a 10bp discount on the first £500,000 of a client’s holding.
The discounts currently only apply to Sipp, onshore and offshore bond holdings.
It is understood that Standard Life is planning to cut its Sipp charge by 5bps from 60bps to 55bps in line with its competitors.
Currently Standard Life’s headline charges are 40bps for ISAs and General Investment Accounts and 60bps for Sipps and bonds.
A Standard Life spokeswoman said: ‘We are currently planning a simplification of our charging structure in line with the platform paper timetable. This will ensure our pricing, including all discounts available, are clearly visible to both advisers and their clients.
‘We believe it is vital that advisers compare the total cost of investing for the client when choosing a platform, rather than picking out one charge in isolation.’
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