IFA support group Lighthouse reported funds under management of around £5.6bn, up 42% since June 2006, in its first interim results since the group's acquisition of LV=.
The group also announced a turnover per adviser of up to £85,000 which is an increase on £71,000 in the same period of 2006. New investment flows were £530m, up from £389m last year.
Malcom Streatfield, chief executive of Lighthouse, says the new investment flows come from the group's SIPP administration business, life investments and OEICs.
Revenue rose 30% to £26.6m from £20.5m in 2006, while pre-tax profit grew by 66% to £786,000.
The group’s recurring income has grown by 76% to £4.1m while its turnover has increased 30% to £26.6m.
Lighthouse’s £2m acquisition of LV= was completed in March 2007. The takeover added 20 advisers and 120,000 clients to Lighthouse’s business. Lighthouse says the transaction’s completion will add £1m annual recurring income to the group.
Commenting on how the group will perform over the rest of the year, Streatfield says he is unsure of the impact the credit crunch will have on the business.
He says: "When you see the nervousness of policy holders at Northern Rock, you can sense people will get nervous. It’s early days and difficult to predict how that will affect retail customers."
To comment on this story contact:
Tel: 020 7034 2679
E-mail: [email protected]
Staying invested could prove lucrative
Consider lasting powers of attorney
Less environment, more governance threatens to undermine firms' green credentials
Evidence your compliance