Swindon-based IFA adopts Sanlam’s ‘hybrid’ advice model

Wiltshire-based IFA firm Statehouse Financial Management is to to offer its clients a ‘hybrid’ advice model in partnership with Sanlam UK, which will see customers initially offered products from Sanlam group companies before the rest of the market is searched.

Clients will in the first instance offered products and services from companies operating under the Sanlam UK umbrella. If the offering does not meet the client’s needs then the adviser will source a solution from the whole of market, Sanlam said.

Sanlam added that Statehouse, which will remain directly regulated by the FSA, is one of the first firms to adopt the model.

Nigel Speirs, head of distribution at Sanlam UK, said that as the Retail Distribution Review is going to be the “biggest shake-up” in the industry since the Financial Services Act, it is “vital” that businesses work out their business strategy ahead of the deadline.

He said: “I am delighted that Nick has done this and has chosen to partner with Sanlam. We believe the client proposition we have developed since the pronouncements of RDR will be market leading.

“We rolled out the hybrid advice model at Sanlam Private Wealth, our own financial planning firm last year. Our clients have embraced the clear advice process and charging structure.”

Nick Cowen, managing director at Statehouse, said: “The RDR provides many challenges to the traditional provision of financial advice.

“The Sanlam approach to the issues raised appealed to us as it is a robust and structured approach to the provision of advice, whilst at the same time providing a quality investment process to our clients. I feel our company is much better placed for the future working alongside Sanlam.”

Sanlam said it is in discussions with a number of IFA firms seeking to adopt the hybrid advice model and expects to make further announcements soon.