Adviser Retirement Options: FAQ's

28th January 2020

Got questions about Adviser Retirement? Have a look at our FAQ's below, they could help. 

1. What are the benefits of the Whitechurch Proposition?
We believe that the proposition we provide will continue to pay an ongoing income flow that will be more attractive than the value that can be achieved from a short term payment. Our experience is that the current market rate may only be a lump sum of two or three times the ongoing income stream. Under the Whitechurch proposals, you should realise this value within four years and then continue to receive an ongoing income going forward. Access to a quality adviser reduces the chances of leakage to a competitor and the associated claw-backs and loss of ongoing income.

2. Can’t I just continue to receive ongoing fee income from the product providers when I leave the profession?
It is our experience that there are a large number of product providers who are turning off the ongoing income once an adviser retires and becomes de-authorised. This means that your renewal pot will be reducing over time, which is where we can help as we can continue to pay the renewal income to you after you have left the industry. In providing a good level of ongoing service to your clients we feel that the chances of ‘leakage’ to another adviser are minimised.

3. What will happen to my ongoing income if I choose the Whitechurch proposition?
After you leave the profession, the agency of your clients will be transferred to Whitechurch Securities Ltd. In return, we will continue to pay you a majority proportion of any ongoing income payments that we receive for your previous clients, in the same way as you would if you were still the servicing agent. This would be payable to your spouse/estate in the event of your death during this period.

4. Won’t you just switch all of my clients into other investments?
No, we will look at each client individually and review the plans that are already in place and provide the best advice at all times.

5. What services will you be able to offer my clients?
We aim to replicate the high-quality service you currently provide to clients and to which they are accustomed. We plan to do this by meeting with you to discuss how you deal with your clients and what their expectations are.

6. My clients will not be familiar with Whitechurch. How will you develop a relationship with them?
We can hold seminars or clinics to meet your clients and inform them about Whitechurch and what we have to offer. We would look to have joint meetings with your clients so that they get to know the adviser who will be dealing with them. We develop a thorough handover plan with you for a successful handover. If you would like a transition period we can offer that.

7. If I accept your Exit Solution proposal, what would my position be with the regulator?
Your position with the regulator will not change. When you exit you will still de-register as normal and we will take on your clients and pay out the renewal income to you.

8. If I accept your Exit Solution proposal, what would be my tax position?
This would be dependent on your company structure and financial position. It would be your responsibility to seek specialist taxation advice on any potential tax liability from the transfer of your client bank to Whitechurch. We have some details about our tax liabilities on our website. Our proposition qualifies for entrepreneurs’ relief.

9. How will I transfer my client bank to Whitechurch?
We will put together an agreement with you and this will allow us to write to the companies concerned and get them to transfer the agencies to Whitechurch Securities Limited. The agencies that will be set up will be specific to your client bank and will be kept separate from the standard Whitechurch Securities agencies. At the same time, there will be a joint letter sent to the clients confirming that Whitechurch is now the point of contact for their financial advice requirements.

10. What is the timescale for transferring my clients?
We can work with your timescales but like to work with you before you retire to ensure that your clients are aware and used to Whitechurch and the advisers who are going to deal with them. Naturally, we are happy to work around any existing arrangements you may have.

11. How will you service my clients that are not immediately accessible from Bristol?
Whitechurch Financial Consultants is a national adviser and where it is commercially viable we will meet clients on a face to face basis. If the situation arises where we inherit a significant client bank or there are a number of client banks in one area, we will consider basing someone in that area to service these clients.

Can't find what you're looking for? Get in touch, your individual circumstances can be discussed over the telephone or probably more enjoyably over a coffee face to face. email: or call 0117 4521207 for more information.