Increased investment in technology will pay off for SIPP providers as the market expands, new adviser research from iPensions Group has revealed.
The nationwide study of British IFAs found widespread support for investment in technology by providers as a positive for expanding the SIPP market over the next three years with research highlighting key developments.
Around 71% of advisers believe speeding up applications through the use of electronic signatures and digital due diligence is the key area for investment by providers while nearly two out of three (64%) say using digital portals for all transactions should be an investment focus. In addition, just 26% believe providers should invest in analytics tools and 21% want to see the launch of more mobile apps.
Providers need to make it as easy as possible for advisers when recommending SIPPs. Investing in technology will deliver returns."
The research from iPensions Group, a personal pensions administrator that brings deep technical knowledge and high-calibre service to the pensions sector, shows technology is becoming increasingly important for SIPP providers.
Nearly half (47%) of advisers say technology is very important when they select SIPP providers for clients with another 36% saying technology is moderately important in choosing among providers for clients. Efficient administration however remains the most important factor for advisers and clients with 84% rating it as "very important."
Sandra Roberson, Group CEO said: "The SIPP market continues to grow strongly as advisers and clients see the benefits of taking control of their retirement planning and investments."
"Providers need to make it as easy as possible for advisers when recommending SIPPs. Investing in technology will deliver returns as it is clearly a major factor for clients when choosing who to trust with their money. Simple steps such as faster applications and digital portals are increasingly a basic factor for clients."