Simon Chamberlain, the founder of Succession Advisory Services, has branded life insurance companies as the ‘dark forces' of the industry and questioned their motives for setting up platforms.
In a speech at a Defaqto conference on the retail distribution review (RDR) last week, Chamberlain outlined his company's proposition, which is based on the consolidation of assets onto its own white-labelled platform, in a range of model portfolios.
However, he was unequivocal in his criticism of the major insurance companies and their ulterior motives.
He said: "There are dark forces at work at the moment across the UK, mostly in insurance companies, who are perpetuating the myth that you need massive scale to deliver this proposition.
"What they've done is launch platforms to try and protect their existing assets, not to protect you.
"The biggest crime in our industry over the last 30 years is that those assets have been stripped away from advisers and distributors, leaving them with the cost of compliance, regulation and administration."
Chamberlain, the former chief executive of Thinc Group, said this loss of control of assets had led to a £52bn valuation of insurance companies and fund management groups on the stock market, with listed IFA firms only worth a total of £50m.
Earlier this year, Succession began acquiring member firms, creating a new business, Succession Wealth Management.
It also set up a second proposition, Succession Financial Management, based around transactional services.
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