IPIFA

Press Release

Intelligent Pensions has recruited Andrew Pennie as Marketing Director in response to the increasing opportunities and IFA’s growing demand for their retirement advisory solutions.

Intelligent Pensions Launches The Drawdown Partnership To Assist Advisers

Following the publication of rules arising from the Retail Distribution Review, retirement specialist Intelligent Pensions is launching ‘The Drawdown Partnership’ to help IFAs meet their obligations to clients and retain ongoing remuneration on their existing drawdown business.

Under the new arrangement Intelligent Pensions will take over the ongoing advice while the existing IFA will act as ‘investment agent’. This involves online processing and tracking of all investment changes through to the eventual purchase of annuities or ‘3rd way’ products as part of the drawdown exit strategies for clients. The company will design and manage individual client portfolios on a case by case basis and takes full compliance responsibility throughout the whole process.

Steve Patterson, Managing Director of Intelligent Pensions, said "This new initiative represents the best of all worlds, bringing together all the necessary elements to provide a sophisticated, robust and cost effective solution for clients in drawdown and to preserve the future income of IFAs". Client consultations are provided via a live internet link direct from the IFA’s office to one of the company’s ‘retirement analysts’ and includes ongoing reviews.

Subject to volumes the scheme includes a free of charge conversion to a low cost SIPP plan. Total running costs including fund management charges will be capped at 1.75 % p.a. of which 0.5 % p.a. will be paid to the introducing IFA for acting as investment agent. “We will be aiming it at firms with existing drawdown books and if there are enough clients happy to make the change the conversion charge will be discounted to nil otherwise it will be 1%.” says Patterson.

The new proposition is designed to tick all the relevant RDR and TCF boxes whereby the functions of Investment Adviser and Investment Agent are separated, with the duties of each governed by the SIPP Terms and Conditions. The company also plans to offer special arrangements for IFAs retiring from full time business.