Twitter icon Email alerts icon Latest News RSS icon Magazine icon Stay connected:

View the article online at http://citywire.co.uk/wealth-manager/article/a736150

Regulatory costs weigh on SJP as assets rise 27%

by Jun Merrett on Feb 25, 2014 at 08:14

Regulatory costs weigh on SJP as assets rise 27%

St James’s Place's (SJP) distribution arm suffered a £6.1 million loss in 2013 on the back of increased adviser expenses and regulatory fees.

Nonetheless, the restricted network saw asset growth continue through the course of 2013, rising to £44.3 billion in its annual results, representing a 27% increase on 2012. This was boosted by the £7.2 billion of new investment and pensions business, up 22% on the £5.9 billion made in 2012.

Net inflows, which also include retention of existing business resulted was at £4.3 billion, up 28% on 2012.

The news comes as the firm said it has set its sights for global expansion as it closes in on acquiring a Far East advisory business.

SJP said it has almost completed acquiring the business with offices in Singapore, Hong Kong and Shanghai for expatriates.

David Bellamy (pictured), chief executive of SJP, said the company sees the opportunity to expand to overseas and the acquisition should be finalised in the first quarter of 2014.

‘We now offer the most comprehensive geographic access to wealth management advice in the UK. Nothwithstanding the fact that we remain very focused on our UK business, we see an opportunity to expand our service overseas to the expatriate community.

‘This is an exciting development for us that we believe sits perfectly with our comprehensive investment approach.’

The restricted network reported a £6.1 million loss for its distribution business in its 2013 full year report, falling from the £5.3 million profit it reported in 2012. SJP said this was down to higher expenses in the year due to a higher number of partners, which increased 10% to 1,958 over the period.

However the company said it expected the benefit from the investment in recruitment would mean the overall loss could be mitigated by higher levels of income from its adviser partners.

Sign in / register to view full article on one page

1 comment so far. Why not have your say?

Knowledgable insider

Feb 25, 2014 at 14:36

Nice to see that someone out there has figured a way of dealing with the proposterous new RDR rules and prospered

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:

Sponsored Video: Bringing it all 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

Investing for income in a changing environment


With talk on interest rates on the horizon, our latest roundtable debate covers income investing against a changing backdrop

More about this:

Look up the shares

  • St. James's Place PLC (SJP.L)
    Register or Sign in to receive email alerts for items in your favourites whenever we write about them

Archive

On the road

Click here to find out more from the Audience Development team.

Sorry, this link is not
quite ready yet