15th October 2014

Aviva: How do you tackle platform due diligence?

For financial adviser use only. Not approved for use with customers.

Responsibility for platform due diligence lies with you, as the adviser. But do you keep the process in-house or outsource it?

In-house

Pros

• You’re close to the process.
• You see all the information about the platforms.
• You can control the thoroughness of your platform due diligence process.
• Annual reviews may be easier if you’re familiar with the process. 

Cons 

• It can be a long process, taking time you could use more profitably elsewhere.
• It can be more costly than you think.
• It can be difficult to source relevant, up-to-date information in a fast-moving market. 

Outsource

Pros

• It frees up your time for more profitable activities.
• You’ll get an independent review of the platforms.
• You should get up-to-date information.
• A third party expert will deliver a clear audit trail.

Cons

• Nobody knows your client service proposition as well as you.
• You’re removed from the process.
• You’re paying another company to do work you could do yourself.
• You may have to conduct due diligence on the third party company.

It comes down to which approach is right for your firm, taking into account the cost implications.

Read what advisers like you have done

Aviva’s platform due diligence paper shows how two advisers took different routes in tackling platform due diligence.

It also offers perspectives from five other industry experts, including Tony Peters of Platform People, who discusses the in-housing and outsourcing options.

Aviva Life Services UK Limited. Registered in England No 2403746. 2 Rougier Street, York, YO90 1UU. Authorised and regulated by the Financial Conduct Authority. Firm Reference Number 145452. aviva.co.uk

Wraps & Platforms