Nucleus, the adviser built wrap platform, has confirmed that its planned reduction in charges for clients with larger portfolios will come into effect this weekend. Following a review of core platform pricing earlier in the year, it was announced that charges for clients with portfolios in excess of £500,000 were to be significantly reduced from 1 July 2017.
The move comes on the back of a highly successful year with increased assets, revenue and profitability. The significant price reduction will apply to all existing core Nucleus users and new business and is designed to ensure those already using the platform benefit from the continued success of the business while also ensuring overall pricing remains highly competitive in the market.
The revised pricing structure, which operates on a tiered basis, is as follows:
|Tiers||Current charge||From 1 July 2017|
|£0 to £499,999||35bps||35bps|
|£500,000 to £999,999||25bps||17.5bps|
Under the new pricing model, a client with a portfolio of £1m will see annual platform costs reduce by 12.5% while a client with a £2m portfolio will see platform costs reduce by 30.5%.
Barry Neilson, business development director at Nucleus, said: “We’re pretty fired up that after a highly successful 2016, and a brilliant start to 2017, we’re able to substantially reduce prices for our new and existing users. As an adviser led business we listen carefully to the feedback from our users and they were clear they wanted a more competitive structure for larger portfolios and it’s great we’re in a position financially to be able to deliver this.
“This has been possible as a result of strong and sustained growth in the assets, revenue and profitability of the business in recent years and our growing scale ensures our users can benefit and be a part of this success.”