A Surrey IFA has launched a new service, in response to what it says is the shortage of available advice in the equity release.
Sixty Plus is an equity release specialist service which IFAs can introduce clients to.
David Wright, managing director of Sixty Plus, says: “We experienced a natural increase in equity release business and were aware that many IFAs simply don’t want to get involved in this specialist area. Some advisers are simply turning business away. It made perfect sense to establish a proposition that can work with IFAs.”
Sixty Plus has set up an advisers’ section of its website where referrals may be submitted online. Introducing IFAs will receive a share of all commission and fee income.
The annoucement of the referral service comes a week after the Association of Independent Financial Advisers (Aifa) said IFAs still views the equity release market with caution.
According to the most recent Aifa member survey, 57% of respondents cited compliance as a major reason for not advising on equity release products, while a lack of advisers specifically qualified to advise on equity release was a reason given by 36% of those in the survey.
Nearly three-quarters of IFAs who discuss equity release with clients refer them to third parties, with the remaining 25% referring clients to another adviser within their firm.
Aifa said it recognised equity release was a unique field and needs sensitive handling adding it was taking steps to keep its members up to date on developments in the equity release market.
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