Old Mutual Wealth has said its increase in scale in recent years makes it 'the only credible scale competitor' to the UK's largest national advice firm St James's Place (SJP).
Andy Thompson (pictured), chief executive of Old Mutual Wealth-owned network Intrinsic, told analysts as a presentation in London yesterday the company had boosted adviser number considerably.
'Since 2014… we have increased the number of restricted advisers we have by 24% while the number of CF30s in broader market has stayed flat.
'We have grown rapidly since the Retail Distribution Review (RDR), [Old Mutual Wealth's advice arm] has become the UK’s second largest advice business. We have emerged from the pack to become SJP’s only credible scale competitor,' said Thompson.
Intrinsic has acquired the Caerus network and added advisers from the Sesame network. Old Mutual Wealth also has its restricted firm Private Client Advisers.
According to slides in the Old Mutual Wealth presentation, at the end of June 2016 Old Mutual Wealth had 1,803 advisers, not including Caerus advisers. According to the same slide SJP had 3,328 at the same time.
Thompson told analysts while others had flounder after RDR, Old Mutual Wealth had seized the opportunity.
'The RDR disruption ended cross-subsidisation, affecting many of our competitors’ business models. Some were acquired or merged and others ceased trading altogether. But our strategy enabled us to seize the opportunity.
'We have been able to increase the number of restricted financial planners both organically and through acquisition.
'We have a real strategic advantage that we believe will be hard for others to replicate,' he said.
Yesterday Old Mutual Wealth revealed plans to rebrand itself as Quilter, under a major restructure which will see it list separately from parent company Old Mutual plc.