Money Marketing’s Weekly Must-Reads: Top 10 Stories
This week, Legal & General Retail revealed its annuity sales have reached an all-time high of £2bn so far this year, and Skerritts has rebranded to Shackleton and bought four more financial-advice businesses.
Legal & General annuity sales reach all-time high of £2bn
Legal & General has reached a record £2bn in annuity sales this year, reflecting growing demand amid improved rates and greater awareness of the benefits of guaranteed income.
Research by L&G and the Happiness Research Institute found annuities enhance retirees’ wellbeing and financial confidence. Managing director Lorna Shah highlighted their role in providing income security, reducing stress and offering flexibility when combined with other income sources.
Skerritts rebrands to Shackleton and buys four advice firms
Skerritts has rebranded as Shackleton and acquired four more financial-advice firms, bringing its total to 15 acquisitions since 2021 and assets under management to £5.5bn.
Named after explorer Sir Ernest Shackleton, the firm aims to rebuild trust in financial advice with values of respect, fairness, care, dependability and courage. Its Wealth Builder service offers accessible advice for simpler needs. CEO Paul Feeney highlighted Shackleton’s vision to unite top-tier firms nationwide, with more acquisitions expected soon.
Söderberg & Partners takes stake in three more advice firms
Söderberg & Partners has taken stakes in three UK advice firms—Hoyl, Intelligent I-FA, and Mosaac—managing over £3.5bn in assets. Now involved with over 20 UK firms, Söderberg aims to support growth and innovation in financial advice.
CEO Gustaf Rentzhog praised the quality of advice and strong client relationships these firms provide. Leaders from the acquired firms highlighted the partnership’s potential to enhance services, technology and client offerings while addressing the UK’s widening advice gap.
Cover story: FCA sets its sights on targeted support
The financial advice gap persists, with many individuals unable to afford or access regulated advice, particularly those with smaller assets or low confidence in financial decisions. The FCA’s recent proposals, including targeted support and simplified advice, aim to address this issue by providing affordable, personalised guidance for straightforward financial needs
Targeted support could bridge the gap between generic guidance and full advice, especially for pension savers facing complex decisions. However, concerns about regulatory boundaries and consumer trust remain, and the challenge is to create effective, scalable solutions that empower underserved markets while maintaining high standards and safeguards.
What Trump 2.0 means for private equity
Donald Trump’s election victory and Republican control of Congress have prompted market rallies in risk assets and concerns over inflation, with implications for private equity (PE) hinging on key areas like taxes, deregulation, trade and antitrust policies.
Deregulation could boost small businesses and favour PE, while stricter antitrust enforcement might hinder M&A opportunities. Tariff increases, while uncertain, could drive inflation but impact PE less than the broader economy due to its focus on intellectual property and services. Despite policy unpredictability, PE is well-positioned to adapt, mitigate risks and seize emerging opportunities in this dynamic environment.
Moneyfarm expands UK footprint with Willis Owen purchase
Moneyfarm has announced its acquisition of UK investment service provider Willis Owen, subject to FCA approval, marking its third UK deal in three years and bringing its group assets to over £5bn. This partnership strengthens Moneyfarm’s hybrid wealth-management approach, combining digital tools with expert advice, while offering Willis Owen’s clients access to broader investment options.
The acquisition, expected to finalise in early 2025, aligns with both firms’ commitment to simplifying investing and addressing the growing demand for accessible, client-focused financial-planning solutions in the UK.
Adviser productivity drops as average total earnings rise
Research by Paul Harper Search has revealed a 3.5% decline in fees generated per adviser in 2024, despite a 7% increase in total earnings for employed advisers. The average retail investment revenue per adviser dropped to £200,012, down from £207,302 the previous year.
Women advisers saw a significant earnings increase of 52% since 2021, reaching £115,955, though their basic salaries still trail men’s by £6,000. The report also highlighted a trend of advisers moving from smaller to larger firms, with the number of advisers in firms with 50 or more advisers now accounting for half of the market.
Brooks Macdonald boosts financial-planning capability with latest acquisition
Brooks Macdonald has acquired Norwich-based firm Lucas Fettes Financial Planning, which manages £890m in assets across 1,600 personal clients and £300m from corporate and employee benefits clients.
This acquisition strengthens Brooks Macdonald’s financial-planning capabilities by integrating Lucas Fettes into its Direct Wealth business. The two firms have had a long-standing relationship since 1996, with Lucas Fettes outsourcing some investment management to Brooks Macdonald. Both companies expressed excitement about the partnership, aiming to support future growth and expand their expertise across the UK.
Paul Morrish: A message to the know-it-alls
Paul Morrish, founder of Succession Wealth and its group corporate director, reflects on the importance of clarity in life and work. He highlights the “employee-service-profit chain”, which shows that happy employees provide excellent service, driving profits that should be reinvested in rewarding them.
In the financial-advice profession, Morrish emphasises the need to focus on genuinely meeting clients’ needs, offering the best solutions and helping them thrive, ensuring they feel secure and valued rather than being left to navigate life aimlessly.
Origo rolls out Unipass LoA to all Openwork advisers
Adviser fintech firm Origo is launching its Unipass Letter of Authority (ULoA) service to all Openwork advisers, enabling them to send LoA requests to over 100 UK providers. Starting in Q1 2025, the service will offer whole-of-market coverage.
Openwork has expressed strong support for the ULoA service, aiming to improve efficiency, consistency and client outcomes. The service simplifies the onboarding process for advisers, streamlining tasks and reducing administrative burden, while providing faster, more efficient service for clients and significant cost savings for providers.
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