Zurich has sold its 25 per cent stake in Openwork, meaning the network is now majority owned by the partnership which represents its member firms.
Plans for Zurich to sell its stake in Openwork had been afoot since 2016 as part of the strategy the insurer set out when the network was created in 2005.
Openwork’s employees retain a minority shareholding through an employee benefit trust, with the majority owned by Openwork Partnership LLP.
The network will continue to distribute Zurich’s product lines in the UK, offering them to its advisers through its panels.
Mark Duckworth, chief executive of Openwork, said: "In February 2016 we announced that partners would become Openwork’s majority shareholder within four years, and we have been working hard to prepare the business for everything that separation entails.
"The fact we have reached this milestone two years early should give everyone connected to Openwork huge confidence and optimism.
"We have a secure, stable, proftable business that delivers a hugely important service to hundreds of thousands of people across the UK. To be doing this independently; to have our destiny in our own hands, is exciting."
Openwork Limited is the UK’s largest financial advice network with more than 3,600 advisers across the UK. It operates as a directly authorised, multi-panel distribution network and has £7.75bn under management, of which £5.5bn is invested in the range of funds offered by its investment arm, Omnis Investments.
The network has seen its adviser numbers grow rapidly in recent years - with 3,200 this time last year - as it vied with Intrinsic for position as the largest network.
The latest figures for Intrinsic show the network has 3,567 members.
Andy Wilmot, chairman of Openwork’s Shareholder Council which represents the LLP, said: "On behalf of all partners, I am delighted we have realised our ambition and created something we believe is unique in financial services.
"Holding equity in a growing business that has the scale and power of Openwork has been much-anticipated and we look forward to welcoming more partners to enjoy the benefits as Openwork continues to expand."
Openwork was established by Zurich in 2005, formed from the provider's financial adviser network.
David White, head of UK retail at Zurich Insurance Company, said: "I am delighted for Mark and his team, and for the LLP, that we have achieved our long-planned separation and Openwork now stands on its own.
"Whilst Zurich will no longer be a shareholder, our relationship will remain strong and we look forward to continuing to provide our market-leading products and services to Openwork advisers and their clients."
damian.fantato@ft.com
