New "Multi-Tie" Rules and caveat emptor

Posted on Feb 28, 2001

Under current "polarisation rules" to sell a pension product you either have to be independent (e.g. an IFA) or a tied salesperson (e.g. member of an insurance company's sales force). The salesperson has to disclose the capacity in which he acts.

It is now proposed that "multi ties" should be allowed removing this distinction. This change will be in place for the sale of Stakeholder pensions and so called "white labeling" will enable the sale of other providers' products, but "badged" as the salesperson own product.

The changes are being introduced to bring clarity to the market place!