Advisory firm Origen, which is owned by Aegon UK, believes there is still a place for both commission and fees in the post-RDR world.
Speaking at the company’s annual sales conference, managing director Stephen Greenstreet vowed his firm would remain independent and says it already has the bulk of the model required in the RDR.
“Origen’s size and breadth of service helps us as we already have most of the model that RDR wants to see. Our annuity service falls under primary advice, our general financial planning not surprisingly falls under the general banner,” he says. “Origen’s bespoke advice for high net worth and company executives would be provided within the Professional Financial Planner section."
New business development director Mark Pearson also told delegates Origen, which currently offers both commission and fee options, is looking to enhance its pure fee based proposition.
“To grow the business and expand our differentiation we will build a fee based model that will be a division of Origen,” he says.
“Clients that will be attracted to this model are those who see their adviser at the centre of their planning, controlling the information and guiding them towards other experts who can add value and propose solutions to their financial challenges.” Pearson says its executive advice proposition will be launched on this model.
He also says the firm needs to increase its recurring income.
“Strategically it is important that we increase our recurring income as it provides certainty and purpose,” he says. “There will be a day in the future when I can attend a budgeting meeting knowing that our year’s expenditure will be covered by our recurring income.”
Origen also wants to increase its number of RIs from 150 to 165 by the end of the year. In order to support this increase, it has developed a number of individual and corporate lead generation initiatives, as well as enhancing its range of propositions, including Professional Connections.
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