Effect of RDR on the UK Life Industry

There are 5 key areas that RDR is llikely to effect UK Life industry.
1. Distribution competition - the model for most financial adviser is not sustainable
2. Consumer Forces - consumer access at an all time low with poor public perception market and mistrust. Furthermore consumers are looking for commoditised transparent products, demanding high services level. Most consumers do not seek advice.
3. Wraps and Technology - platforms regarded as the solution as the compete for AUM and scale to make the economics work.
4. Regulation - FSA RDR, TCF, National Pensions Saving Scheme.
5. Providers - manufacturers are at risk through - Capital shortage, margin erosion, disinermediation and consolidation.

posted by Chris Read @ 11:00 0 Comments

Size of the retirement market and "At Retirement" market

The size of retirement market in the UK is predicted to more than double within five years to over £30Billion
The At Retirement market was worth £13.6Billion in 2007. It is expected to grow by 20% over the next 5 years.
The At Retirement market is clearly an enourmous growth aera that in my opinion is underserved with technology.

posted by Chris Read @ 10:04 0 Comments