Praemium, an Australian investment administration and financial planning technology firm, has agreed to acquire Wensley Mackay, a UK-based privately-owned Self-Invested Personal Pension (SIPP) provider.
The £600,000 cash transaction is subject to approval by the UK’s Financial Conduct Authority (FCA).
The deal will allow Praemium to foray into the UK private pension market and access a significant new source of funds under administration (FUA) through its existing advisor relationships.
The company was previously restricted to offering UK customers with separately managed accounts through individual savings accounts and general investment accounts.
Praemium CEO Michael Ohanessian said: “In the UK, platform providers have seen the retirement market open up following pension reforms introduced in April 2015 that de-mandated the use of annuity investments.
“Investors are exiting annuities and seeking other options for their retirement saving, with a manore shift to pension schemes like SIPPs that offer a wide range of investment options. Accordingly, adding a SIPP solution to our UK platform proposition enhances our growth prospects by offering a complete package to our clients."
Cumbria, England-based Wensley Mackay supports the pension planning needs of independent financial advisors and their clients across the UK.
Wensley Mackay managing director Paul Wensley said: “This deal offers a fantastic opportunity to grow the business and continue to deliver the high quality service for which we have become known to a much larger group of financial services professionals and clients in the UK.”