Howard Finnegan
Transfers and Re-registrations Market Update – Q3 2014
Written by Howard Finnegan on
Electronic transfers and re-registrations continued to see growth during the third quarter of 2014, both in terms of the number of participants and volume of transfers.

The overall volume of electronic transfers rose by close to 10% over the second quarter of 2014 and a number of live participants rose noticeably.  At the end of September 2014 the number of TeX members supporting live electronic transfers and re-registration was 97, covering over 80% of AUA on advisor platforms and 90% of UK funds managers FUM.

During the third quarter of 2014 we saw two significant firsts for electronic transfers and re-registrations.  The first pension transfers using open standards and the TeX legal framework completed in July and the first Intermediate Unit Holders/Custodians started to support electronic re-registrations. There has also been significant progress in reducing the volume of rejections meaning more transfers completed quickly and smoothly within the TeX 6 day SLA.

The main highlights of the third quarter were:

  • 35 Providers across Adviser Platforms, D2C, Wealth Managers and ISA plan managers;
    • 14 of the top 20 Adviser Platforms covering over 80% of AUA (7 using ATG)
    • 7 D2C Platform and Wealth Managers (5 using ATG)
    • 14 ISA plan managers
  • 62 Fund Managers representing almost 90% of UK FUM 
  • First pension transfers using V2.1 market practice and TeX legal framework
  • First electronic re-registrations involving Custodians/Intermediate 
  • Volumes continue to increase with over 10% increase of Q2 2014.

For the last part of 2014 we expect to see a number of the key direct to consumer platforms and execution only providers start to support electronic transfers and re-registrations.  Following the first live pension transfers using open standards we expect to see a steady rise in the number of pension transfers participants.

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