Introduction

Dear Adviser,

I hope you have had an enjoyable summer and found time to rest and recuperate.

We welcome the FCA’s review of platform cash interest. As they consider disclosure it’s clear that currently, the platform charge related to retained cash interest (the amount “skimmed” by those that do it) may not be accurately represented in client illustrations. This charge is often expressed as a formula rather than a specific monetary value, and its impact on projected values may be obscured due to inconsistencies in growth rate assumptions among providers. This means that platforms who skim cash interest may be projecting the same or higher growth rates on cash as platforms who don’t skim like Transact. Additionally, customers may not be fully aware of this charge when reviewing their annual cost and charges report. We hope that the FCA’s review will lead to improved transparency, making it easier for advisers to recommend platforms based on an holistic assessment of costs and potential portfolio returns.

As interest rates rise (as at the end of July we are passing on 4.62% p.a. in cash interest) don’t forget we provide access to a number of fixed-term deposits (as high as 5.95% p.a. over two years) accessible via the platform, and that you can apply on your clients’ behalf.

We continue to invest in our client service teams. In Client Operations we are now at full headcount. Our latest trainees have joined the teams and we have inducted another 10 new starters. Everyday our experience and knowledge levels grow. This is having a positive impact and we are pleased to share that our service is improving month on month, with faster turnaround times and fewer dropped calls being tangible examples. Staff engagement is strong and we are looking ahead to providing even more training and support in order to build further on our service offering. A full update on our position in Client Operations is provided below.

We also continue to digitalise more processes as clients can now add their bank account details online.  We also continue to expand our Data Services. Our latest development is a Remuneration Reconciliation tool that allows you to access fee reconciliation data. The connection to our application programming interface (API) can be via your back-office software provider. This could save you a large amount of time. Simply contact your service provider to put them in touch with us to build that connection. More detail is provided below.

Thank you if you were able to take the time to complete the Transact Adviser Survey 2023 or the CoreData 2023 Platform Survey. We look forward to sharing the results with you.

It’s not too late to register your interest to attend one of our 2023 Connect events. The next event is in Gerrards Cross, Buckinghamshire on 3 October followed by Warrington, Cardiff and London. If you are unable to attend a regional event please consider attending in London. Please register your interest to attend a new look event here. We look forward to meeting with you and your colleagues.

Kind Regards,

Jonathan Gunby
Chief Executive Officer,
Integrated Financial Arrangements Limited (Transact)

1. Introduction
2. Transact Online (TOL) – Recent Enhancements
3. Electronic Fee Reconciliation Data
4. COPS Update
5. Clients Can Add Their Nominated Bank Account Details via TOL
6. Share Class Conversion
7. Transact- BlackRock MPS Events
8. The Trust Registration Service (TRS) Challenges One Year On
9. Fund Changes
10. Interest on Cash Deposits
11. Transact Events 2023