Cofunds needs £4.5bn to return a profit

Cofunds needs a further £4.5bn in assets under administration to begin generating operating profits. The figure, estimated by Cofunds chief executive Clive Boothman in an interview with Investment Week, assumes current cost levels remain the same. The company, set up as a rival to Fidelity's FundsNetwork, has just over £500m of intermediary assets on the platform. However, it has accumulated a staff of well over 200 since it took its administration in house in December last year and is far from cash generative. Boothman said the target for assets under management is achievable if the ...