Towry Law, the private and corporate wealth advisers, has announced a 88% increase in discretionary investment funds under management, adding nearly £1bn net during 2007.
In the year to 31 December 2007 the company enjoyed a record period of organic and acquisitive growth, including a 45% increase in earnings (EBITDA) to £9m from £6.2m in 2006.
It also reported a 34% increase in recurring income to £28m, up from £20.9m in 2006.
The group made five acquisitions last year including Baker Tilly Financial Services and the UK activities of MLP Private Finance Plc. Overall, there was a 37% increase in staff to over 660 including a 21% increase in the number of advisers.
The group also announced there has been significant investment in expansion in the growing Northern Irish and Scottish markets and strengthening of employee benefits proposition with key hires across the UK.
To accommodate this rapid growth, Towry Law has also invested in its infrastructure during the year. This includes a strengthening of its Executive Committee, central investment and technical resources through recruitment, and ongoing training of wealth advisers.
During the year the firm launched its ‘Return to Work’ scheme, helping professionals who have taken career breaks, and its Masters Programme, aimed at raising the qualification levels of its entire staff. The firm invested in new offices in London, Manchester and Edinburgh to accommodate the larger numbers of staff.
Towry Law also launched its “Independent Wealth Advice in the UK: A campaign to improve the integrity of the industry” calling for five key industry changes.
The most controversial of these were ‘fees not commissions’ (the abolition of the payment of all initial and trail commissions to financial advisers) and ‘independence not tied’ (more stringent tests before financial advisers can use the ‘independent’ label, including not accepting financial or non-financial support from, and not being significantly owned by, product providers).
Commenting on the firm’s results, Andrew Fisher, chief executive, Towry Law, says: “2007 has been a fantastic year of growth for Towry Law and we look forward to 2008 with the ambition and conviction to become the leading independent private and corporate wealth adviser in the UK.
“We have structured our proposition so that it is the most appropriate for our target clients, and this is evidenced by a net increase of £1bn in new funds under management during the period.
“Over the past year we have also campaigned tirelessly to seek true industry change and ensure that private and corporate clients receive the best advice from highly qualified advisers.”
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