Rathbones has said that it is planning an expansion to its financial advice capability after posting its latest financial results
In what has been a strong first half of 2020 during the ongoing covid-19 global pandemic, the UK financial services company said in a statement that it will continue to add advisers to its own in-house financial advice ranks, while at the same time continuing to build its successful UK and international discretionary investment management service.
The statement read: "The benefit of financial advice to clients has been more important during times of market turbulence and dislocation, with both the demand for and the need for advice increasing. "In addition to working directly with c. 12,000 IFAs to provide DFM investment services for them and their clients, we operate both an independent IFA network, Vision and an in-house capability Rathbones Financial Planning, (RFP).
"The combination represents a strong proposition for clients, providing them with access to 152 financial planners advising over £3.1bn of client funds."
Vision focuses on the mass affluent HNWI segment of the market and assets have has grown to £1.9bn, now with 131 independent financial advisers within this arm of the company. Rathbones said it expects it to continue to grow at the rate of 10 advisers per year.
Adviser numbers within its own financial advice service RFP, which offers one-off or ongoing advice, typically to clients with "more complex
financial situations", have now grown 21 advisers, something that Rathbones said that it also looking to continue to invest in going forward.
Commenting on the overall results, Paul Stockton, pictured left, chief executive, Rathbones said: "An acceleration of net inflows in the second quarter helped our funds under management and administration reach £49.4bn at 30 June 2020, down 2% over the half year against a backdrop where the FTSE 100 index decreased by 18.2%."
Total net inflows were £1.3b in the first half, representing an annualised growth rate of 5.3%, while Investment Management generated annualised net organic growth of 1.4%.
The Unit Trusts part of the business saw net inflows of £600m, 68.7% ahead of the first half of 2019, with funds under management growing by 20.0% to £8.0bn at 30 June 2020.
"Underlying profit margins remained resilient as our business model responded strongly to the challenges of the covid-19 pandemic whilst also creating opportunities to leverage the advantages of remote working and streamlining procedures," he added
"Our strong first half performance is testament to the strength of our brand, our market position and our people. Our business model has proven to be resilient, agile and adaptable throughout the duration."