Advisers need to act on S32's says Ritchie

clock

While nine out of ten advisers believe Section 32 is the best way for the majority clients to protect their tax free cash entitlement leading up to A-Day, research shows no further activity in the market, says Scottish Equitable.

On the back of recent adviser roadshow research, Scottish Equitable finds given a choice between using S32 and relying on a block transfer to protect tax free cash, only 6% of advisers would use the latter. Scottish Equitable says many advisers believe a block transfer, to be too risky as it relies on a transfer ‘buddy’ who may later retract on the deal, leaving the other individual standing. Scottish Equitable says there are many individuals, with tax-free cash entitlements greater than 25% of the fund, who could take advantage of a transfer to a S32 policy, including those in poor...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Advisers turn to smoothed funds to help manage volatility threat

Advisers turn to smoothed funds to help manage volatility threat

Decreasing exposure to equities also a popular strategy

Isabel Baxter
clock 26 March 2024 • 1 min read
Examining the 60/40: Building diversified portfolios in 2023

Examining the 60/40: Building diversified portfolios in 2023

Advisers have a lot to consider when it comes to portfolio diversification

Charlotte Moore
clock 14 April 2023 • 6 min read
Schroder Investment Solutions expands distribution of MPS

Schroder Investment Solutions expands distribution of MPS

Expanding the range of DFM choice on the Parmenion platform

Ayesha Venkataraman
clock 06 December 2022 • 2 min read