Following the conclusion and outcomes of its strategic review, Tenet Group has today announced a series of transactions to secure what it describes as “the best possible future” for its customers, Appointed Representatives, advisers and colleagues. This includes a series of changes to its business model, which include Tenet’s intention to close its wealth business.
Part of this is that The Openwork Partnership, one of the UK’s largest financial services networks, has entered into an exclusive agreement with Tenet’s Wealth & Investment Network.
Under the deal, Appointed Representatives of the Tenet Wealth & Investment Network will be offered a fully supported transfer to The Openwork Partnership, with the option to retain their independent status in the 2plan Wealth Management network.
Openwork has more than 4,500 financial advisers based in over 820 firms and are supported by over 600 employees. According to Openwork, this could introduce 170 new firms into The Openwork Partnership, add over 360 new advisers to the network, and bring £6billion of assets.
Also announced today as part of the review was that LSL Property Services plc, owner of one of the UK’s largest mortgage networks, PRIMIS, has acquired TenetLime, the regulated mortgage and protection advisory network with 133 Appointed Representatives.
PRIMIS has a long-standing record of providing mortgage and protection advisers with the support they need to deliver strong customer outcomes.
According to Tenent, the Tenet & You, Tenet Mortgage Solutions and Tenet Financial Services advisory brands will remain with the Group and continue to advise their customers without interruption. Tenet Compliance Services is also retained in the Group and will continue to support and provide compliance services and regulatory support for Directly Authorised advisory firms.
It’s expected that all moves will be completed by mid-2024.
Phillip Hilling, Chairman of Tenet Group said:
“The Board of Tenet is pleased to announce the completion of our strategic review which concluded that these transactions affecting Tenet’s Appointed Representative networks are in the long-term best interest of all stakeholders, and we are delighted to have secured well-established, successful businesses with matching cultures for our customers and their advisers. These outcomes provide certainty and sustainability for our Appointed Representatives, customers and employees and support our ultimate objective of producing good consumer outcomes. We look forward to working with Openwork and LSL (PRIMIS) in ensuring a smooth transfer of Appointed Representatives and our employees. On behalf of the Board, I would like to thank our colleagues for their support and hard work in achieving this successful conclusion and wish them well for the future.”
Helen Ball, Chief Executive Officer of Tenet Group said:
“Openwork and PRIMIS have strong reputations for supporting Appointed Representatives and they can be confident that their new homes will allow them to grow with the support, freedom and control their businesses need. Our focus now is to work with all the parties in these transactions to deliver a smooth transition for our stakeholders.”
Richard Houghton, Chief Executive Officer at The Openwork Partnership said:
“Not only does this exclusive agreement represent a brilliant opportunity for The Openwork Partnership commercially, but it also demonstrates our continued commitment to ensuring everyone in the UK has access to financial advice. I’m delighted that we can support those advisers impacted by Tenet’s decision and offer them a positive outcome from the situation. The fact that we can provide such a wide range of options to the Tenet Wealth Management firms demonstrates the breadth and strength of the The Openwork Partnership.”
Supporting customers, advisers and colleagues
The process of transferring customers, advisers and colleagues will be managed by Tenet in close co-operation with the respective counterparties, and it is expected all moves will be completed by mid-2024.
Communications with network members and colleagues are underway and will continue throughout the sale and transfer processes. Tenet will continue to operate all key services as normal during the transfer period and does not anticipate any adverse impact on customers, who will continue to deal with their regular adviser as usual, or any member operations.
