View the article online at http://citywire.co.uk/wealth-manager/article/a705358
Canaccord Genuity’s Darke: We are preparing to hit the acquisition trail again
by Elsa Buchanan on Oct 02, 2013 at 10:04
Fresh from the integration of Eden Financial’s wealth business, chief executive of Canaccord Genuity Wealth Management (CGWM) Neil Darke says the company remains on the acquisition trail.
This forms part of a three-pronged strategy, along with pursuing organic growth and hiring in new investment teams.
CGWM snapped up Eden’s wealth arm last September, placing it under the Canaccord Wealth umbrella in May, with similar acquisitions a possibility.
Darke (pictured) told Wealth Manager: ‘Although we have a good regional client base, in due course we may look at a regional presence in the UK, but we won’t mimic [firms] who have 20 or 30 offices.’
New teams could be brought in to increase the company’s ‘visibility’, although Darke ruled out opening new offices, describing a large regional physical presence as ‘inflexible’ and expensive to run.
He stressed organic growth should come first: ‘To leverage the existing client base, we are focusing on organic growth through hires on the private client and planning side.’
The chief executive said further hires would only come once CGWM’s ‘multi-million pound’ back office infrastructure investment programme is completed in 2014.
‘On the back of the metamorphosis over the past five years, which saw our firm double its assets over the period, the back office picked up the burden of a larger business [as at 30 June, CGWM had £10.1 billion under management],’ Darke said.
‘CGWM has been rewiring its back office with a private bank system to further scale the business by lowering ongoing operational costs.’
News sponsored by:
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
With talk on interest rates on the horizon, our latest roundtable debate covers income investing against a changing backdrop