Allied Dunbar, a Zurich Financial Services Group subsidiary, is to launch its group stakeholder pension scheme by October 2001.
Employers will be able to use the product as a designated scheme and it will be available as a group plan only.
The new scheme will supersede the existing group retirement plan and all members of the existing plans will be converted to the new plan. Like the scheme it replaces, the stakeholder plan will be internet-based.
The stakeholder scheme will pay advisers fees of 2.25% on all contributions of £500 (per calendar month) or more. There are no fees payable on plans with smaller contributions.
Alternatively advisers can elect at outset to receive a trail fee of 0.25%. This will only be payable on funds under management of £25,000 or more per scheme. Again, there is no fee payable on smaller schemes.
By Janet Du Chenne
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