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SJP swells assets under advice as ISA business doubles
by Nicholas Paler on Apr 21, 2010 at 09:09
St James's Place today revealed new ISA business had doubled year-on-year in the first three months of 2010, with total new investments soaring and helping to lift funds under management.
The upmarket salesforce firm said it had experienced a record quarter for new business after total single investments rose 57% to £1.1 billion in the first three months to 31 March.
Driving much of this growth was a boost from ISA business which increased 102% year on year in the first quarter, the firm said.
New business calculated on an annual premium equivalent rose 42% to £133.3 million in Q1 this year, compared to £93.8 million last year.
In total, funds under management at the firm have risen 9% since the start of the year to £23.3 billion, and climbed 52% in the last 12 months from £16.3 billion. The climb in assets was partly down to the rise in stockmarkets which have soared near to pre-crisis levels in the last year.
St James's Place said it had also retained 95% of existing client funds.
The group delivered a bullish outlook following the record results. 'More than ever we believe our business model of face-to-face advice through our own distribution, the St James's Place Partnership, gives us a strong competitive advantage,' the group said.
David Bellamy, chief executive, said: 'Against an improving market backdrop, we've delivered a very strong all round performance. It demonstrates the effectiveness of our business and the quality of our investment proposition for clients.'
Shares were up 4.8% or 13.1p, at 283.39p, by 08:46am following the publication of the results.
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5 comments so far. Why not have your say?
Anon of London
Apr 21, 2010 at 09:57
I am always surprised at the epithet 'Upmarket Salesforce'.
SJP is a master of the art of marketing.
Granted, SJP markets to the wealthier end of UK society. However, the sales force is far from upmarket in my experience!
report thisdarryll connor
Apr 21, 2010 at 10:06
Yes well i was always told that attitudes are based on experience. Or lack of it.
report thisHarry Katz
Apr 21, 2010 at 11:32
A couple of days ago I received a letter from St. James’s Place – obviously fishing for recruits. I threw it in the bin.
Bright and early this morning guess who called? Yep - the guy from SJP. Now believe this or not, I POLITELY told him I wasn’t interested. But do you think this foot in the door high pressure salesman would leave it at that? Not on your arm twisting Nelly. So I tied to explain that:
I don’t want to work for someone else
I value being independent
And I’m not keen on the SJP model
Guess what; he then tried to launch into the script to try and tell me that they were as good as independent – your correspondent then lost his temper.
No wonder their sales figures are up – precisely that – sales. I wonder where advice fitted? I also wonder how many broken arms resulted. The poor clients. I thought Regulation was supposed to protect people from this. The Trevor Deaves model not only lives on – it thrives! With help from the Regulator who steadfastly raises the bar for Independents, yet gives the others as much rope as they want in order not to fully, clearly and unequivocally disclose their status. At least the Law Society knows which way is up.
report thisChris Geeson
Apr 21, 2010 at 11:54
Harry, I've got to assume that the SJP guys industry reading had not ventured beyond Janet & John go camping if he did not recognise your name.
I would also assume he was either very stupid or brave to persue the conversation, of course the other option is that he was fresh out of the MacDonalds recruitment school with 4 stars on his chest and called Dwayne.
report thisPhil Castle
Apr 21, 2010 at 12:20
Before I phoen any other adviser about anything, I tend to look at the FSA register to find out what their histrory is, I also often look at the firms website and may even then google their name. This bloke must be a bit dim. He must also not realise that even small firms have recording systems attached to their phones and bearing in mind teh call was unsolicited, there is no legal requirement I believe to warn the caller that calls are recorded, it is just good practice to do so.
I wish Harry had a recoding as he could have sent it to the FSA of evidence that prescribed wording for restricted advisers WILL be essential.
Wonder if I'll get a call from SJP?
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