Axa move is knee-jerk

Professional Adviser
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ulian Stevens Managing Partner, WDS IFAs Kingswood, Bristol Sir, I read with interest that ...

ulian Stevens Managing Partner, WDS IFAs Kingswood, Bristol Sir, I read with interest that Axa plans to stop paying initial commission on part of its personal pension platform in a bid to ensure new business is profitable (IW 26 May). This must surely be a knee-jerk reaction to the fact it failed completely to realise that offering high commissions calculated as a percentage of contributions, irrespective of the client's age, would inevitably lead to selection against it. Surely, this should have been obvious? As a result, Axa has lost money hand over fist, as there is noth...

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