FSA plan to ban legacy rebates 'disappoints' Skandia

clock

Investment platform Skandia has criticised plans by the Financial Services Authority's (FSA's) to outlaw rebates on 'legacy' business paid by fund groups to platforms from 2016.

The expected move, revealed by IFAonline's sister title, Investment Week, would force providers to charge managers for additional services in an attempt to shore up revenue. Skandia, which has been vocal in its support for unit rebates as an alternative to cash rebates, could have income from its large legacy back-book compromised by the proposed legislation. "It would be a disappointing result for advisers and their clients and could result in unnecessary disruption and upheaval on legacy business," said UK managing director Peter Mann (pictured). "Our preference would be that no ...

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 Wrap/platforms

Platform innovation: Terry Huddart on Platform One's execution only portal

Platform innovation: Terry Huddart on Platform One's execution only portal

'It's continuing to garner a good reputation in terms of its UX'

Terry Huddart
clock 21 May 2025 • 6 min read
Back to basics: Let's not forget platforms' fundamental attractions

Back to basics: Let's not forget platforms' fundamental attractions

'Providers have to shoulder the bulk of the blame for this knowledge gap'

Steve Andrews
clock 20 May 2025 • 4 min read
Hargreaves Lansdown and Moneyfarm top the tables in D2C platform market

Hargreaves Lansdown and Moneyfarm top the tables in D2C platform market

Industry assets grew by £2.7bn

Isabel Baxter
clock 12 May 2025 • 2 min read