A look back at the most popular stories on thewealthnet last week....
10.
Nominations are open for the 2024 PAM NextGen Leaders list and will remain open until Friday 22nd March.
This annual listing supersedes the highly acclaimed PAM Top 40 Under 40, which launched in 2009 and ran successfully for 14 years. We decided it was time to rebrand the initiative, to reflect changing trends in the modern workplace.
As part of the change, we removed the age limit, instead focusing on the number of years of qualified work experience. This ensures that we are not excluding those who may have had career breaks or career changes.
9.
Vinoy Nursiah
Wealth manager Kingswood appointed Vinoy Nursiah as chief financial officer (CFO) and Bryan Parkinson as managing director, head of wealth planning.
Mr Nursiah has experience in working with growing, private equity backed businesses which Kingswood hopes will help to advance its agenda.
He was most recently CFO at CSC Global Financial Markets, a provider of specialised administration services, where he built a new global finance team, operating model and platform.
8.
Andrew Shepherd
“The opportunities are enormous, but we’ve got to be bold,” Andrew Shepherd, the chief executive of Brooks Macdonald, told thewealthnet.
This is despite the world being a “pretty challenging” place currently, not least for wealth management and advisory businesses.
Consumer Duty, as well as turbulent investment markets, have led to significant changes in the industry, allowing firms the opportunity to evaluate all aspects of their businesses.
7.
Brooks Macdonald put its international business under a “strategic review” due to it being behind plan.
Additionally, the firm recognised an £11.6 million one-off, non-cash impairment charge on the goodwill associated with the international business acquired in 2012.
As a result, the wealth manager reported a statutory pre-tax loss of £0.8 million in the six months to 31 December 2023.
6.
Paul Stockton
It has certainly been a busy year for both Rathbones and Investec Wealth & Investment (UK), due to their combination, but things are unlikely to slow down just yet.
“Most commentators will assume it is all done now,” Paul Stockton, chief executive of the enlarged Rathbones Group, acknowledged. However, there is still a long way to go.
Speaking to thewealthnet following the firm’s full year results this week (06/03/2024), he stressed that this investment – both in terms of time and capital – is worth it. [Read more here from Katie Royals]
5.
Schroders delivered another set of solid, if not spectacular, wealth results for 2023 with income, profits and assets under management (AUM) all increasing.
These reinforced Schoders’ position in the pantheon of leading UK wealth managers in terms of size as well the growing importance of wealth management within its business mix.
Net operating income came in at £436.8 million, a £30.0 million or 7.4 percent increase on the £406.8 million reported for 2022. Operating profit amounted to £150.5 million, a £20.60 million or 15.9 percent improvement on the previous year’s £129.9 million. [Read more here from Ian Orton]
4.
The Financial Conduct Authority (FCA) requested information from firms about the delivery of their ongoing advice services and the Consumer Duty. This latest test for wealth managers to prove their value has particular expectations for those advising ultra-high net worth investors (UHNWIs).
Around 20 of the UK’s largest advice firms are receiving a survey from the FCA requesting information about their delivery of ongoing services for which their clients continue to be charged after advice has been given. Not based on concerns about those firms, but to throw a wide net.
In its survey, the FCA asked if firms have assessed their ongoing services in light of the Consumer Duty, have made any changes as a result, how many clients due an ongoing advice suitability review have received one, and, if they did not, were they reimbursed. Depending on what the FCA finds, a regulatory crackdown on non-compliance may follow.
3.
In a transformative year for Rathbones, which saw it combine with Investec Wealth & Investment (UK), pre-tax profits dropped by 10.1 percent.
These dropped from £64.1 million at the end of December 2022 to £57.6 million, which the firm said was largely due to acquisition and integration costs.
Excluding this, underlying pre-tax profits grew by 30.9 percent from £97.1 million to £127.1 million. This included a £25.4 million contribution from Investec W&I in the fourth quarter.
2.
The number of under performing funds has ballooned in the past six months, according to Bestinvest.
In its latest edition of its ‘Spot the Dog’ report - which identified consistent underperformers in fund management – 151 equity funds were identified as meeting the criteria to be considered dog funds.
This is a 170 percent increase on the 56 funds highlighted in the August report.
1.
The much-anticipated Budget was delivered by Chancellor Jeremy Hunt, with economists suggesting it was a pre-election Budget, designed to garner favour from voters as the Conservative Party lags behind in the polls.
Amid significant jeering from the House of Commons, some key announcements were made that could have a significant impact on wealth managers.
Here are five key takeaways for the private wealth industry… [Read more here from Katie Royals]