AXA has applied to the Financial Services Authority for principal status for mortgage and general insurance business written by its tied distribution partners. By taking mortgage principal status AXA will considerably enhance its mortgage support proposition for both current and future partners.
The announcement follows last year’s launch of AXA’s Mortgage Solutions which is one of the most comprehensive mortgage support packages offered by any life company. AXA believes that under the changing regulatory conditions, it will become increasingly important for advisers to demonstrate that they are providing their clients with well-researched advice, underpinned by the security of fully compliant systems.
The proposition will provide the following benefits:-
1. Providing a route to authorisation for firms who give advice on mortgage products.
2. Mortgage compliance support for appointed representatives.
3. Point of sale mortgage aggregator which delivers a fully compliant sales process and audit trail.
4. Access to a comprehensive range of mortgage lenders, specialist packagers and competitive procuration fee structure.
5. An extensive range of mortgage and marketing related support services.
6. AXA will meet the FSA capital adequacy and professional indemnity requirements on behalf of its members.
7. Comprehensive initial and ongoing mortgage training and development packages.
Paul Rodgers, Head of AXA Adviser Network, said:
“AXA is acutely aware of both the financial and compliance pressures that the regulatory changes in the mortgage marketplace will have on advisers. The unveiling of our new mortgage proposition today demonstrates AXA's intention not only to become a major player in the mortgage market but our commitment to our business partners.
“It is our aim to become the ‘host of choice’ for advisers operating in the financial services marketplace and the launch of our mortgage proposition is a significant step towards achieving this ambition. By capitalising on AXA's growing distribution, its financial strength, and the breadth of its product proposition across all sectors of the marketplace, we expect to see a substantial increase in the number of distributors that can benefit from our proposition”.
