Other Citywire websites
Stay connected:

View the article online at http://citywire.co.uk/new-model-adviser/article/a650641

Whitechurch acquires £90m client bank and goes restricted

by Rachael Revesz on Jan 14, 2013 at 10:15

Whitechurch acquires £90m client bank and goes restricted

Bristol-based discretionary fund manager (DFM) and advice firm Whitechurch Securities has opened its first regional advisory office after acquiring Chelmsford Financial Management, boosting assets under advice by £90 million.

The DFM and advisory business has acquired the client bank from the Essex-based four-strong adviser firm, taking its assets under advice to £400 million.

Chelmsford boss Nick Connor will retire alongside two other colleagues.

One member of the Chelmsford team, Richard Wood, will join Whitechurch and head up the new office.

Wood will report to Whitechurch head of advice Mark Stone.

This latest acquisition adds to the 21 client banks Whitechurch bought over the past 18 months.

Gavin Haynes, Whitechurch managing director, said given the local nature of the client bank, it was important to keep an office in Essex.

‘Because of our client bank in the area we felt we needed to have a local presence, which is why we’ve opened up a regional office,’ he said. ‘It has been the largest [client bank] acquisition to date.’

Haynes added that the company was considering further expansion in the north east, where it had taken over some client banks.

He also revealed that Whitechurch’s advice offering will be restricted in the retail distribution review world due to the firm’s limited use of vehicles like investment trusts and structured products, and the use of its in-house DFM offering.

Sign in / register to view full article on one page

3 comments so far. Why not have your say?

Stephen Ng

Jan 14, 2013 at 11:33

I wonder just how much of the £90m will end up on the DFM books? Were the Essex clients made aware that their new offering would be restricted and DFM before the switch? What will they be charged for the 'benefit' of being switched to the DFM? Will the regulator be watching and will the in-house compliance managers be sold the benefit of the switches? Lots to ask and lots to be answered.

report this

Nick H

Jan 14, 2013 at 11:50

Stephen - I agree with all you say. I wonder if clients realise how much they're being 'packaged', 'commoditised' and 'homogenised'...

anyway, I've put the thesaurus away now....

report this


Jan 14, 2013 at 12:19

l'm beginning to question how much these assets are actually really worth.

If the clients refuse to pay fees and//or the renewals//f.b.t. stops for whatever reason, l think a lot of these deals today will have been done for too much money as l am convinced providers will now try and find ways of keeping money that they've previously been paying out to IFAs, particularly on a 'fund based' basis.

Providers are probably actively looking for loopholes as l write.

report this

leave a comment

Please sign in here or register here to comment. It is free to register and only takes a minute or two.

News sponsored by:

Opportunities emerge as production moves back home

As the UK coalition government strives to rebalance the national economy, so called 'reshoring' looks set to play an increasingly important role in economic recovery.

Today's top headlines

A spotlight on Alastair Mundy

Alastair Mundy met Citywire's Daniel Grote at the London Stock Exchange Studios for a detailed interview about the Investec Cautious Managed fund.

Sorry, this link is not
quite ready yet