New business applications were 75% higher in July compared with the average number of applications received during the first four months of 2016.
In May, the company introduced a zero establishment fee for all new Qrops applications received before 31 October 2016. The initiative is initially for six months.
STM’s new business numbers for Qrops saw a 28% month-on-month increase between June and July, which followed a month-on-month increase of 15% between May and June.
The uplift in business stemmed from existing as well as new intermediaries, although the company said that it is too early to tell whether this growth rate will continue and if there will be a material impact on the year.
Contract-based plan
In addition, the group also announced that the STM Malta Pension Contract Plan is now listed on HM Revenue & Customs’ recognised overseas pension schemes (Rops) list and is now available to clients and intermediary partners.
Until now all STM pension schemes have been trust-based, however, feedback from some of STM’s intermediary partners in civil law countries (where trusts are a less familiar concept) indicated that they want to be able to recommend a contract-based pension solution to relevant clients.
Like other STM Rops, the contract plan has a £0 establishment fee and a £750 ($979, €883) annual trustee fee with no additional fees.
Iain Farr, STM Group head of distribution, commented: “The zero fee has provided a compelling reason for our existing partners to give us a greater share of their business and has also resulted in a significant uplift in business from new intermediaries.
“We look forward to servicing new clients and gaining a stronger foothold in those markets where there is a preference for a contract-based solution.”
