When most people think of St James’s Place, they may think about their local financial adviser or perhaps have come across the firm’s products when sorting out their pension or investments.
Few are likely to think of an ultra-high net worth advisory practice.
However, Paul Emery, private client director at SJP Wealth Management, is on a mission to change it.
With over 7,000 UHNW private client relationships, he believes SJP is in the top three UHNW wealth managers in terms of scale in the UK. The market remains fragmented, so it is hard to be certain, he noted.
Mr Emery admits the firm's size “does raise eyebrows”. Most are surprised to hear the firm has such a large private client offering. This is something he wants to change.
The private client division is a substantial part of SJP’s business. It accounts for around 15 percent of the firm’s funds under management.
Mr Emery’s mission is now to make it an industry leader in the high net worth space.
He’s not one to shy away from a challenge. A former PAM Top 40 Under 40, Mr Emery joined SJP as head of client banking in 2016 from Coutts where he worked directly with the chief executive as strategy and corporate development director.
SJP is a different challenge to Coutts.
The Coutts brand is unique and “exceptional in the UK wealth management market”, Mr Emery noted. However, he said SJP’s branding difficulties are not unique. All the big firms that have mass market offerings as well as private client divisions have similar problems.
To attract HNWs, firms need to have something that goes beyond the standard offering. There is little difference between the products on offer, but the service is crucial.
HNWs expect a higher level of service than the average person. “We need to be able to offer over and above,” Mr Emery acknowledged.
As part of this, the firm operates a “GP and consultant” form of relationship.
All clients have an SJP partner who is their first point of contact and who can deal with most queries. The partner then brings in consultants – whether these are former lawyers, accountants, private bankers, or other specialists – to assist with more complex matters.
Like many other firms, SJP also others a bespoke events programme for its private clients to add to the service clients already receive.
SJP is exploring the possibility of expanding its offering for HNWs to include a concierge service.
HNW clients tend to be time poor and appreciate being able to outsource important tasks to a firm they trust.
Mr Emery says the concierge requests he has seen in the past range from arranging new family pets to organising proposals.
The only problem – “once people have experienced [this service] it is hard to let go off”. If the firm is going to start offering this kind of service, it has to commit to it fully.
Concierge services can also be beneficial for developing client relationships. Partners can discover what is important to their clients and what makes them tick.
Branding still remains a challenge.
Within the industry this is improving, Mr Emery believes. The firm has recently welcomed new partners from well-known firms like Coutts and Julius Baer.
“This definitely adds to our credibility,” Mr Emery said.
He believes SJP’s partner business model helps to attract top talent. The model allows partners to be entrepreneurial and means they can develop their own specialisms within their branch.
This also helps with wider branding. SJP’s partner businesses do not always lead with the SJP name. Instead, they have their own name which SJP stands behind.
A point of distinction between mass affluent and HNW clients is still needed to make sure intermediaries know about the services on offer.
The firm uses the name SJP Private Clients for this – but this branding is used in a limited way for now.
In terms of attracting clients, the nature of SJP means the firm can start servicing them at a very early stage.
SJP works with entrepreneurs and high earners when they have as little as £10,000 to invest.
By the time they sell their business or have accumulated more wealth the level of trust in their adviser is “really high” and more often than not they are committed to the firm.
