7IM is to go up against private banks with its platform, which will allow individuals to make whole-of-market investments, but under the guidance of their financial adviser.
The firm’s research suggests there has not been a significant polarisation to advised and non-advised camps. Rather it says more are willing and able to take charge of their finances on a basic level but require advicefor more important decisions.
For example, should their adviser agree, the client will be able to fill their annual subscription to an ISA online, while the professional will step in when dealing with larger sums, such as in the case of an inheritance.
“We are trying to allow the IFA not only to segment their book into clients that they deal with face to face and clients that they deal with remotely, but also to allow the client to do either,” said 7IM chief executive officer Tom Sheridan.
“The IFA can decide client by client who has the authority. The default option would be a 7IM portfolio, but the platform will be whole-of-market.”
7IM has also updated its app with a new tool, My Future, which allows investors to forecast their own pension pots, in the hope that they will eventually turn to professionals for help.
“We are a higher net-worth business. Our average platform client is investing more than £250,000 and our average discretionary client £750,000, so our market is at the bottom end of the private banks,” said Sheridan.
“This is not a direct competitor to the likes of Hargreaves Lansdown, but it is for private banks. It is a new use of digital technology. The tool is MyFuture, the app is 7imagine, and the service is 7IM.”
