View the article online at http://citywire.co.uk/wealth-manager/article/a715839
Cofunds ditches ETF and investment trust plans
by Elsa Buchanan on Nov 08, 2013 at 14:31
Cofunds and Barclays Stockbrokers have abandoned a proposed venture to list investment trusts and ETFs on the intermediary platform.
Branded Cofunds Stock Trading Service, a pilot of the tie-up was launched with 10 adiser firms in January 2012.
Besides ETF and Investment Trusts, the venture was also expected to allow advisers access to trade individual equities and bonds via Barclays Stockbrokers. All trades were to have been accessible through Cofund's website.
However, following the lack of demand seen during the pilot, the two firms have decided not to proceed.
Stephen Wynn-Jones, head of marketing told Wealth Manager: 'Following discussions with Barclays Stockbrokers, we’ve jointly decided to withdraw the pilot service offered to a small subset of our clients for stocks, ETF and investment trust trading.
'The overall service, whilst very competitive on price and quality, didn’t provide all that those clients wanted and consequently there was little demand.'
Cofunds and Barclays Stockbrokers will continue to work with the advisers in the pilot to ensure a smooth transition and a good outcome for their clients, Wynn-Jones said.
He added: 'We continue to monitor what our clients want and the demand for this type of service.'
Legal & General’s platform business Cofunds is the largest in the UK, with over £60 billion of assets under management.
David Hobbs (pictured) was promoted to chief executive in October, replacing Chris Last who retired.
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