Legg Mason is withdrawing from offering Isas to investors and has agreed a deal to transfer up to £65m in assets and up to 7,000 clients to the Hargreaves Lansdown Vantage platform.
The terms of the deal have not been disclosed, and the transfer is subject to approval by the FCA and HM Revenue & Customs. No exit charges will apply for investors transferred to Vantage.
Legg Mason Isas which have not been transferred to Hargreaves Lansdown or an alternative Isa provider by 15 June or voluntarily redeemed as at 12pm on 30 June, will be bulk transferred to Hargreaves Lansdown. Customers will continue to be invested in the funds currently held.
Legg Mason head of global distribution business management Ed Venner says: “We are aware that Isa holders increasingly value the ability to access and manage their accounts online, together with other features and functionality that our Legg Mason Isa does not currently offer.
“After careful consideration we have therefore decided to withdraw from offering the Legg Mason Isa with effect from 1 July and to offer our clients the opportunity to transfer to Hargreaves Lansdown or take other actions as best suit their circumstances.”
Hargreaves Lansdown chief executive Ian Gorham says: “As one of the UK’s largest stocks and shares Isa providers we are pleased to support Legg Mason’s decision and look forward to welcoming these new clients to the Vantage service.”