Cavanagh profits hit by RDR transition

clock

IFA Cavanagh warns short term profitability may be sacrificed as the group evolves to meet RDR requirements.

Its interim results reveal this impact is already being felt with profits before tax of £202,000 from a revenue of £7.67m for the six months ending 30 June. This is down from £312,000 and £7.95m respectively for the same period in 2009. However, the firm's net debt has been slashed from £1.47m to £335,000, while the level of discretionary funds held by Cavanagh Asset Management has increased from £69m to £196m. Group chairman Paul Sinnett attributed the drop in profits to continuing uncertainty in the economic environment and the company's efforts to become RDR compliant. "It is cl...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Your profession

March 2024: Month in review with deputy editor Jenna Brown

March 2024: Month in review with deputy editor Jenna Brown

Take a look at some of the news and feature highlights of the last month

Jenna Brown
clock 28 March 2024 • 5 min read
Wren Sterling adds £265m in client assets in latest deal

Wren Sterling adds £265m in client assets in latest deal

First advisory firm purchase of 2024 for national financial planner

Jenna Brown
clock 28 March 2024 • 1 min read
Consumer Duty Alliance looks to attract advice industry talent

Consumer Duty Alliance looks to attract advice industry talent

New Talent Alliance will be chaired by M&G Wealth Advice MD Tom Hegarty

Isabel Baxter
clock 27 March 2024 • 2 min read