Payment solutions provider Equiniti is to launch an execution-only service that aims to help its IFA partners service the mass market.
Equiniti hopes that IFAs will offer this execution-only service to clients who want to trade in a wider range of securities than their IFA's licence may allow. These securities might include single stocks, ETFs, guilds and bonds.
IFAs that introduce the service to clients will receive an 'introducer fee'.
The service will be made available via a website with an incorporated trading facility.
The company created the technology in house and it has been in use for several years.
For example Equiniti provides a white label service for Lloyds Bank customers and also services share dealing for employees of several large FTSE companies that have shares nearing maturity.
The cost of trading on the platform will start at £1.75 but on average will cost between £12 and £50 per trade.
Director of Equiniti investments Mark Taylor said: "We are offering this service as a result of being approached by IFAs who want to service the mass market but don't have the licence to be able to offer trading on all stocks.
"The driver has been the RDR - which has led to IFAs increasingly focusing on high net worth clients. But those same IFAs don't want to leave their mid net worth clients without access to financial services."
The website will go live in November.
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