Vanguard is entering the UK mutual fund business for the first time and has chosen Tom Rampulla, director of sales for Vanguard Advisor Services in the U.S. to head up the unit, since it will initially focus on selling through financial advisers.
Vanguard said it believes now is actually a good time to enter the UK market because it offers low-cost funds.
We will be advocating fee-based advice to UK independent financial advisers, which we believe to be in line with the Financial Services Associations objective of increasing the level of fee-based advice available for UK investors, Rampulla said. As a leading provider of retirement services in the U.S., we also expect to bring that experience to bear on the UK at a later stage.
Vanguard Chief Executive Bill McNabb added: Vanguards mission in the UK, as globally, will be to help clients achieve their goals by being the worlds highest value provider of investment products and services.