Royal London is buying Fundsdirect and its Ascentric wrap as it looks to access the platform market....
Royal London is buying Fundsdirect and its Ascentric wrap as it looks to access the platform market.
The group's bid has been accepted by 85% of shareholders so far, ahead of the deadline in less than two weeks. Overall, 90% approval is required for the deal to go through.
Fundsdirect's management team will remain in place, including non-executive chairman Clive Boothman and managing director Hugo Thorman.
Alasdair Buchanan, group head of communications at Royal London, said the deal would not significantly alter either party's business operations, but would allow Royal London to access an interesting and growing part of the market.
He said: "Over the last couple of years, it has become apparent that some platform models are more attractive to IFAs. Market research has shown us that whole of market wraps have been the most success-ful proposition."
Meanwhile, Fundsdirect is looking to buy Investment Life Sciences, which provides technology for its Ascentric platform.