A new life, pensions and investments company based in Edinburgh, UK, has been set up to take business away from the big players in the market, according to a newspaper report.
The Scotsman says that Nucleus has been set up to give control of product distribution back to the IFA community at a time when the big insurance groups are reducing their commission fees and trimming product ranges.
Nucleus will be part owned by seven advisers, The Scotsman says, meaning that it will put the IFA channel at the heart of its proposition. This should lead to it giving better service to clients.
We want to reduce the dependency of IFAs on UK life providers – which currently control the flow of capital to the sector, chief executive David Ferguson told the newspaper. We want to put the IFA at center stage…Pricing is non-transparent – the vested interest is in the wrong place.
The person who is closest to the customer should be the valuable entity, he added.