Personal Pension  

Guidance site wants to be more social media than Pension Wise

Guidance site wants to be more social media than Pension Wise

A new proposition described by its creator as a kind of financial Facebook is set to be launched in April, in “ideal circumstances”.

Malcolm Small, who was director of policy at the Tax Incentivised Savings Association between 2007 and 2014, said the website would be for a membership-based financial community, which would also provide guidance and was being created in response to people starting to think about what their future looked like in terms of later life.

He added the site would provide answers to questions, not just around pensions, but all sorts of topics, including housing equity.

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Mr Small said: “It is not exactly a rival to Pension Wise. That is not how I would position it – it is very different and we don’t want to conflict with Pension Wise.”

Mr Small said a “handful” of chartered partners would be recruited and it was essential the site was built correctly rather than just quickly.

He added:“We are recruiting individuals, providers and other users of the site to build it right. It is like a financial Facebook. We get the impression that quite a lot of millennials will be interested, not just those who are about to retire.”

In November, the Wealth Management Association’s annual summit was told that one of the industry’s highest priorities was preparing for how best to service the next generation of investors.

Jonathan Wragg, chief executive at Investec Wealth and Investment, said a tipping point was being reached where most investors would be “digital natives”, adding that firms must think of different ways to engage this demographic, targeting them as they begin to accumulate assets.

Nick Hungerford, director and chief executive at Nutmeg, said 25 per cent of its customers were new to investing, while Brewin Dolphin’s head of wealth and investment management Stephen Ford said his firm wanted to get to clients earlier and younger, adding the industry had still not got the kind of brand recognition that Amazon or Apple had among millennials.

Tony Stenning, savings and investment specialist for fund manager BlackRock, suggested that home ownership came before pension savings for those born in the early 1980s and the early 2000s – the so-called millennials, or generation Y.