Scottish Widows sets out its 'mid-market' adviser strategy
Unlike many of his competitors, Scottish Widows chief executive Toby Strauss refuses to forecast the future number of advisers or the way the sector may segment. “Our planning assumption is that we are going to have to cope with a wide variety of different outcomes,” is all Strauss will say when it comes to predicting an unpredictable market.
The Lloyds Banking Group-owned provider announced its intermediary plans last week , which will see it return to the IFA annuity and protection sectors.
Strauss, who joined LGB last October as insurance director, moving from the role of Aviva UK life and pensions chief executive, says the strategy will see the firm focus on the middle market and aim to offer low-cost products to help advisers service this area. He says Widows has no plans to launch a wrap. Instead, he suggests the company will focus on “straightforward products” that link into advisers’ back-office systems.
The firm’s first priority is launching its IFA annuity proposition, which Strauss hopes to bring to market within the next year. Again, Widows’ focus will be on mainstream annuities rather than investment-linked or fixed-term products. It will, however, be offering an enhanced annuity option .