Cofunds to run moneysupermarket execution-only service

Cofunds will power moneysupermarket.com’s new execution-only service, but has denied the move signifies a shift to the direct-to-consumer market.

From today, moneysupermarket.com will be providing a new execution only service for investment business, giving customers access to the Cofunds Investment ISA and the entire Cofunds range of over 1,500 funds from more than 90 fund managers.

"We have built the platform to provide flexible, reliable and convenient administration and management services to a range of intermediaries, and this is a great addition to our execution-only client base," says sales and marketing director Alastair Conway (pictured).

"We are excited to be working with moneysupermarket.com to develop an investment service for its many website visitors."

The link-up, which Cofunds says does not signify a move towards a direct service to investors, will see moneysupermarket.com have sole responsibility for the sales, marketing and promotion of the service. But it will not have access to Cofunds' database of investors.

Conway adds regulatory requirements are forcing a change in market dynamics.

"We see more initiatives like this being developed by major consumer brands as the market evolves as a result of the RDR," he says.

Moneysupermarket.com head of banking Kevin Mountford adds: "Working with Cofunds has allowed us to offer our customers a very simple way to compare and buy their Stocks and Shares ISA.

"They have access to more than 1,500 funds and we want to help them find the investment products that best suit their objectives and attitude to risk. This is a fantastic addition to our whole of market cash ISA channel. No other comparison site has such a complete ISA proposition, so we are very excited about this new offering."

The Platforum recently published research showing the direct to consumer platform market is a rapidly evolving space.