By Kira Nickerson Some 1,000 IFAs who are members of Fidelity's extranet service Access can now conn...
By Kira Nickerson
Some 1,000 IFAs who are members of Fidelity's extranet service Access can now connect to the group's fund supermarket, FundsNetwork, to transact Isas online.
The internet-based supermarket, which features more than 250 funds from 14 different groups, will officially launch on 17 July.
Fund groups that have signed up to Fidelity's FundsNetwork include Aberdeen, Barings, CGU, Deutsche, Fidelity, Flemings, Henderson, HSBC, Invesco, Mercury, Newton, Norwich Union, Schroders and Virgin.
The IFA transaction section of the funds supermarket has only four screens, the first of which is client and payment information.
The group is looking to implement pre-populated information forms in the next phase of the project.
Once this has been completed and a maxi or mini Isa choice has been selected, the adviser can then select a fund from one of the 14 investment groups listed.
An Isa can be created from more than one fund and more than one group. At each screen the charges on the fund plus commission information are available.
The commission information is interactive allowing the IFA to rebate whatever portion they wish. The system then automatically calculates the difference on the charges of the products.
As the system recognises individual IFAs, any special commission arrangements with a specific fund company will also be shown, provided the management company has passed on that information to Fidelity.
One characteristic of the system is that Fidelity's phasing option on lump sum investments can now be applied for any of the Isas selected.
Phasing allows more cautious investors to drip feed their lump sums into an Isa over a six-month period. While some fund companies allow this, it is not a widespread practice, David Cowdell, associate director of Fidelity's wholesale division, said.
Once the various funds for the Isa have been selected and commission options chosen, the adviser then moves to the transaction stage and will instantly receive notice that the order has been sent to Fidelity.
As well as transacting an Isa, advisers can also use the service to produce valuation reports, which are updated daily, and create consolidated commission reports.
A graphing feature on the service will allow an intermediary to combine all the various fund information and then break the combined geographical exposure down so that clients can see exactly what markets they are overweight or underweight in.
Another layer to the Fidelity service is the white labelling of the supermarket, Cowdell said.
IFAs such as Chase de Vere, Torquil Clark and Hargreaves Landsdown have already signed letters of intent to brand the supermarket with their own label.
Their clients can then access the site and transact themselves, however, the commission information is omitted from the client's screen. Commission that is payable for that transaction is then passed on to the IFA.
Record numbers of people aged 90 plus
From 3 to 10 October
'Integral part' of the financial planning process for many advisers
Proposals outlined at Labour Party conference