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.