Business
Tavistock and Novia Announce Strategic Initiative
Tavistock and Novia Announce Strategic Initiative.
About this update from Tavistock Investments Plc
[{"type":"text","content":"\n \nRNS Number : 4245Q Tavistock Investments PLC 01 September 2014 \n\n1 September 2014\nTavistock Investments plc\n(\"Tavistock\" or the \"Company\")\nTAVISTOCK AND NOVIA ANNOUNCE STRATEGIC INITIATIVE \nTavistock Investments Plc (\"Tavistock\") and Novia Financial plc (\"Novia\") are delighted to announce that they have entered into a strategic commercial relationship.\nNovia is an established wrap platform operator with existing relationships with a high number of IFA firms. Tavistock Partners, Tavistock's advisory subsidiary, has a long-standing relationship with Novia and a significant proportion of its clients' assets are currently managed on the Novia platform. Tavistock Partners has also developed an attractive and guaranteed retirement package for its IFAs.\n \nTavistock Wealth, Tavistock's DFM subsidiary, has created an innovative and low cost centralised investment proposition (\"CIP\") for Tavistock Partners' clients and is now seeking to offer this service to a wider audience.\nUnder the terms of the strategic agreement, Tavistock Wealth has endorsed Novia as a preferred platform and Novia will introduce advisers to Tavistock on a selective basis. Tavistock Wealth will grant Novia supporting IFAs access to its CIP, otherwise only available to advisers that have joined the Tavistock Partnership. Additionally, Tavistock Partners has agreed to make its \"retirement guarantee\" available to any such firm at a time of their choosing. \nAs part of the arrangements, Novia and Cocoon Investment Holdings Limited (which is a substantial investor in Novia) have participated in Tavistock's share placing and are providing a three year, unsecured, convertible loan facility. These arrangements are the subject of a separate announcement today.\nNovia's Chief Executive, Bill Vasilieff, commented: \"The trend for the consolidation of IFA firms has accelerated post RDR. We like the Tavistock proposition for advisers and anticipate making an excellent return from our stake in the business. The deal adds real value to Novia supporting advisers by obtaining a very attractive retirement option for them, one with preferential terms to those otherwise available. However, the end client will be the real beneficiary, protected from a potential advice gap, by assured continuity of advice in the event that their adviser retires ...