Highlights
· Continued strategic delivery with Active Savings performing well, our US Fund to launch on 1st November and the pilot launch of the first of our digital Augmented Advice tools on track for the second quarter.
· Net new business of £0.7 billion in the period and closing Assets under Administration ("AUA") of £122.7 billion.
· Net new client growth of 17,000 in the period, taking us to 1,754,000 active clients, with client retention rate of 92.2%.
· Revenue for the period of £162.9 million, up 15% (FY2022: £142.2m) driven by higher revenue on cash.
· Raising FY2023 revenue margin guidance to 49-52bps from 44-47bps.
Chris Hill, Chief Executive Officer, commented:
"The impact of the challenging macroeconomic and geopolitical backdrop on asset values, client confidence and propensity to invest has been seen across our industry. Against this backdrop we have delivered £0.7 billion of net new business and welcomed a further 17,000 net new clients in the quarter, reflecting both the diversified nature of our platform and also the trust clients place in us. Our focus remains on helping new and existing clients navigate these tough times and engaging with them to help improve their financial resilience. Cash savings are high on the agenda for clients and we have seen a further £0.7 billion of net flows into Active Savings leading to a record £5.3 billion of assets. Although flows into risk based investments remain subdued, both client and asset retention rates remain strong and in line with last year.
We are on track for both our new US Fund launch on 1st November and the pilot launch of our Augmented Advice proposition later this calendar year as we build delivery momentum against our strategic roadmap.
I have been really pleased to see HL recognised, for the first time, as 31st on the list of the UK's most valuable 75 brands, according to Kantar's reputable BrandZ ranking. This is testament to the success of the brand awareness campaigns we have delivered and the emphasis we place on building long-term relationships with clients and our wider stakeholders. In addition we welcome confirmation from the FCA that they will be undertaking a holistic review of the advice and guidance boundary, which we have been encouraging for several years and will hopefully enable us to do more to help our clients, particularly through Augmented Advice and the investment solutions we are developing."
https://www.investegate.co.uk/hargreave ... 00090192D/
Ian.