Tenet to launch new adviser pay system

Tenet to launch new adviser pay system

Tenet has said the launch of its new remuneration system will be one of the projects it focuses on next year.

Martin Greenwood, chief executive of Tenet, said there were a number of developments the network was looking to make during 2018.

This included developments to Tenet's exit-planning strategy for member firms, which was piloted during 2016, and its restricted proposition, which has been tested in recent months.

Mr Greenwood said Tenet began a major project to improve the way its advisers get paid during 2017 to make this more streamlined and reducing the amount of time advisers have to take keying in information.

He said: "At Tenet, we will continue to develop our exit planning strategy for member firms, via our practice buyout scheme, whereby we look to acquire the client banks of exiting investment firms.

"2018 will see the launch of our new remuneration system for members, following a major project throughout 2017, and we will continue to invest in back office workflows to help drive efficiencies and make advisers’ lives easier.

"Early in the year will also see the formal launch of our off-the shelf restricted proposition and, looking to the future, the development of a self-service Isa."

Mr Greenwood also cited the introduction of Mifid II next month, as well as the General Data Protection Regulation in May, as major developments the financial advice industry will have to contend with in 2018.

He said: "Mifid II will come into play in January, but we feel that our investment advisers will be well prepared, following the introduction of new policies, procedures and related documentation which have been communicated in stages, since the publication of the final rules.

"Similarly, we have been supporting firms in the run up to the General Data Protection Regulation taking effect in May, introducing new concepts and rights in terms of how personal data is used and stored."

Mr Greenwood also expressed his support for some of the Financial Conduct Authority's proposals for reforming how the Financial Services Compensation Scheme is funded.

Earlier this year the FCA said it was considering whether to force advisers with professional indemnity insurance exclusions to hold an amount of capital in trust for the benefit of the FSCS or require them to take out a surety bond to cover claims in the event of their failure.

Mr Greenwood said: "The review of FSCS funding gave recognition that the regulator wants it to be the backstop, rather than the first line of defence.

"We have been campaigning for improvements within the industry so that exiting firms don’t become a liability, meeting with the FCA and Treasury, and are hopeful that solutions such as the proposed surety bond do make it into the final rules."