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Aegon will compensate IFAs hit by platform issues

Aegon will compensate IFAs hit by platform issues

Aegon has reassured advisers it will compensate them if they are out of pocket as a result of problems with the company’s recent platform upgrade.

Over the May Bank Holiday weekend more than 400,000 users of the Cofunds retail platform and £37bn of assets were moved across to the Aegon Platform.

Aegon bought Cofunds in 2016 for £140m and has been planning the integration of the two platforms ever since.

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The move was the third stage in the integration of Cofunds with Aegon, with the Investor Portfolio Service and institutional service having upgraded in December and March respectively.

More than a week after the platform switch, hundreds of advisers are having problems activating their account with one adviser, who wished to remain anonymous, stating that the issues had cost him a four-figure sum so far. 

A spokesman for Aegon said: "Aegon has a complaints and compensation process as part of its regular operations and this will apply to any complaints received in the last 10 days."

Aviva, which suffered a series of problems with its own platform upgrade, has said it will make good any losses incurred by advisers as a result of glitches in its platform upgrade.

Aviva's platform was unavailable for six days beginning on the evening of 17 January and just one day after it came back online after the upgrade, investment advisers found they and their clients were locked out of the platform.

There were also problems with adviser charges not being paid out by Aviva to the advisers.

A spokesman for Aegon revealed the vast majority of their platform users had no issue with the replatform.

A spokesman for Aehon said: "The new Aegon platform has been live for just over a week. In that time over half of our regular users have activated their accounts and the volume of trades being placed are already close to the average volumes that were placed on Cofunds.

"Over 6,000 advisers have now activated their accounts and we’re aware of around 400 advisers who have experienced activation issues. We’ve trebled our phone capacity and are working quickly with those affected to ensure they have access shortly. In the long run the new platform provides a more stable technology base and will provide a better user experience and broader proposition."

Tom Turner, an adviser at Blithe House Financial Management in Southport, described his experience of being an Aegon client since the upgrade as a “sorry tale.”

Mr Turner said on 8 May he discovered he could not get into the platform, and contacted Aegon.

He said: "I was informed by Aegon that someone would call me back as there was a large amount of calls. I have never received a call back.

"I rang back on Wednesday (8 May) when we tried some new password resets but to no avail. At 5.25pm I received another email with a reset but when entered this came back as password expired?