Brooks Macdonald is planning to further strengthen its ties with advisers by making its platform available to the broader market.
The firm is now making its proprietary custody and administration services available to adviser clients, who can opt to outsource custody, cash, settlement or simply the whole of their back office.
The new service will complement Brooks’ investment outsourcing offering – comprising bespoke portfolio management, model portfolios and multi-asset funds – which has helped to power growth for the firm over the past few years.
Brooks’ chief executive officer (CEO) Chris Macdonald (pictured) said the service had been launched on the back of client demand and had already attracted around £50 million in assets from external parties.
‘There is a huge advantage to being a late entrant. The way software moves, it is easier being a late entrant because you have the advantage of knowing how other systems work,’ he said.
The decision to roll out the firm’s platform to the broader market follows the decision to bring its back office in-house completely last year. Brooks had formerly partnered TD Waterhouse, but Macdonald said the firm had sought to have complete control over both its front and back offices. He believes it is integral to ensure the two are not dislocated, in order to provide excellent service levels to clients.
‘Service is a big thing – and not falling over because of someone else’s delivery,’ he added.
Brooks Macdonald will look to actively market the new service later this year and said it is yet to decide on a pricing structure, although the CEO said they would seek to make it as clean as possible.
Over the 12 months to the end of June, the firm posted an 18% rise in discretionary funds under management to £3.5 billion and had net cash of £13.5 million.