capaDATA
  • PERFORMANCE
    • Younger saver, 30 years to retirement – 5-year annualised returns
    • Younger saver, 30 years to retirement – 3-year annualised returns
    • Younger saver, 30 years to retirement – 1-year annualised returns
    • Older saver, 5 years to retirement – 5-year annualised returns
    • Older saver, 5 years to retirement – 3-year annualised returns
    • Older saver, 5 years to retirement – 1-year annualised returns
  • RISK/RETURN
    • Risk/Return – Younger saver, 30 years from retirement, 5-year annualised
    • Risk/Return – Younger saver, 30 years from retirement, 3-year annualised
    • Risk/Return – Younger saver, 30 years from retirement, 1-year annualised
    • Risk/Return – Older saver, 5 years from retirement, 5-year annualised
    • Risk/Return – Older saver, 5 years from retirement, 3-year annualised
    • Risk/Return – Older saver, 5 years from retirement, 1-year annualised
  • PROVIDERS
    • Aegon Master Trust
    • Aon Master Trust
    • Atlas Master Trust
    • Aviva Master Trust
    • The Bluesky Pension Scheme
    • Ensign Retirement Plan
    • Fidelity Master Trust
    • Legal & General Investment Management – WorkSave Pension Mastertrust
    • LifeSight (Willis Towers Watson)
    • Mercer Master Trust
    • National Employment Savings Trust (NEST)
    • Now: Pensions
    • The People’s Pension
    • Salvus Master Trust
    • Scottish Widows Master Trust
    • Smart Pension
    • Standard Life DC Master Trust
    • SuperTrust UK Master Trust
    • TPT Retirement Solutions
    • Welplan Pensions
  • Research
    • ADVISERS
      • Pension provider selection factors
      • Switching
      • Diversification
      • Illiquids
      • ESG
      • Green
      • Digital
      • Consolidation
    • PROVIDERS
      • Master Trusts by number of members
      • Master Trust defaults by assets and number of employers
      • Member charges
      • Employer charges
      • Master trust investment advisers
      • Equity exposure
      • Derisking
      • Asset managers used
  • NEWS
  • MORE
    • About
    • Advertise
    • Contact us
    • Privacy policy
    • Content syndication
    • Terms & Conditions
CAPA
No Result
View All Result

CA Master Trust Conference Review: Are master trusts fit for drawdown?

04 January 2022
CA Master Trust Conference Review: Are master trusts fit for drawdown?
Share on TwitterShare on FacebookShare on LinkedIn

A simplified advice regime could leave advisers and providers open to future mis-selling claims, and may not solve the problems in the at-retirement market, warned  Syndaxi Financial Planning director Robert Reid.

One of the solutions floated is the idea of ‘simplified advice’ where people are given more personalised guidance that steps back from ‘full-fat’ bespoke financial advice. 

But Reid told the audience that for 20 years the industry has been trying to look at simplified advice options. The main problem he said is that if something goes wrong at a later stage it is unclear whether the adviser or potentially the employer securing this advice is liable to pay compensation.

He said this problem extends to the introduction of investment pathways, which are now being used as default drawdown options in the contract-based pension market for those who have not sought advice.

“When we were talking to the regulator about the introduction of these pathways I asked the million dollar questions: who is responsible if something goes wrong? I was expecting them to say there would be no problem if you had recommended an FCA-sanctioned pathway but this was not the response.” He said the regulator said there was the possibility of cases being taken to the Pensions Ombudsman at a later stage. 

He said that this “too cautious” approach to regulation is creating problems in the industry, and will stifle innovation or moves towards more personalised advice options, as providers will not want to take the risk of paying up at a later date should something go wrong. 

“Are we trying to protect people to the point where they take no responsibility for themselves? I think this is the biggest error we’ve made in regulation in the UK. We’ve
got this new consumer duty, which is overarching and picks up lots of different things. So I think if you want to look at the employer market with pensions and look at how they provide some kind of guidance or simplified advice I think you’ve got to be extremely careful.” 

He added that in order to get guidance to work the industry needs to get to the point where it has a notion of caveat emptor [buyer beware]. “If you don’t have any responsibility in the individual then all you are building is a claim for the future.”

The post CA Master Trust Conference Review: Are master trusts fit for drawdown? appeared first on Corporate Adviser.

TweetShareShare
Previous Post

CA Master Trust Conference Review: Show pension impact call

Next Post

CA Master Trust Conference Review: Technology, financial wellness, and ESG help forge better relationships with savers

Category

  • By Provider
  • News
  • Not for search
  • Provider page archive
  • Uncategorized
  • video
CAPA data

© 2019-2024 Definite Article Media Limited. Design by 71 Media Limited.

  • About
  • Advertise
  • Contact us
  • Privacy policy
  • Syndication

Follow us

No Result
View All Result
  • About
  • Advertise
  • Contact us
  • Privacy policy
  • Syndication

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish.AcceptReject Read More
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Non-necessary
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
SAVE & ACCEPT
No Result
View All Result
  • About
  • Advertise
  • Contact us
  • Privacy policy
  • Syndication