Personal Touch announces share plan

Amanda Jarvis

January 31, 2005

The company celebrated its 10th Anniversary last September and during 2004 gross commission income earned on sales by Appointed Representatives reached nearly £30 million, almost double the 2003 figure.

This trend is expected to continue in 2005 as the company now has more than 800 intermediary firms registered as Appointed Representatives with 200 more in the pipeline awaiting regulatory clearance.

This makes it one of the UK's largest and fastest growing networks covering all areas of personal financial services, embracing pensions and investments, protection, general insurance and mortgages.

The new share plan will allow key account ARs to participate directly in the company1s growth. Existing shareholders have agreed to make 17 per cent of their stock in PTFS available for ARs over the next four years.

These shares are identical to those held by existing shareholders, including Aegon, directors and staff.

Entitlement to the shares each year will depend on business volumes and full details of the apportionment are to be announced in the near future. It is expected that the shares will be redeemable after 2007.

Commenting on the share plan, PTFS1 Chairman, Martin Wilson, said: “Our commitment is to evolve a business that we all benefit from, which can be open and honest whilst also giving its members a great proposition, and where success can be achieved in the short term whilst also building a capital asset for the future. On the basis of certain turnover and profitability criteria, we believe that over the next four years the value of these shares could exceed £30 million.”

Mike Allison, Personal Touch Managing Director, said: “Our business plan involves working in partnership with our ARs to establish a UK-wide Financial Services Supermarket with up to 500 branches to provide the public with genuine one stop access to expert independent financial
advice and a comprehensive product range. While in 2004 we focused on laying the groundwork for this Supermarket and gearing up for the extended regulatory structure, in 2005 our emphasis is on supporting the growth and development of the network.”

Personal Touch has identified a number of key areas to assist the development of its partners' businesses, including:
– Recruitment support to assist them to acquire the skills and
expertise necessary to advise on and sell a comprehensive range of
– Product development, to make sure they are able to offer a
genuine one stop financial services shop to the public.
– Administration, compliance, and IT support to help their
business function more efficiently.
– Sales and marketing support services, including assistance with
lead generation to generate new leads and the provision tools to enhance
client communications.

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