Sesame, the adviser network arm of Sesame Bankhall group, has reported a loss for 2012 of £9.3m - four times its losses in 2011 - as a provision for a regulatory fine took its toll.
The Financial Conduct Authority (FCA) fined Sesame £6m in June over its failure to ensure that investment advice given to its clients in relation to Keydata was suitable.
Sesame's losses - up from a £2.4m loss in 2011 - include a provision for this fine.
Turnover for Sesame increased by £9.8m in 2012 to £180.2m, up from £170.3m in 2011.
Sesame said the rise in revenue reflects strong adviser numbers, the resilience of its members and the positive impact of Sesame's broader range of services, with average adviser productivity increasing by 14%.
Sesame said it has continued to make "significant" investments in its technology infrastructure and new services for members in order to secure its future position.
The Sesame Bankhall group generated increased profits in 2012 of £4.1m, up from £2.2m in 2011.
Sesame Bankhall group chief executive George Higginson, said: "In challenging market conditions we have continued to see healthy increases in revenue, adviser productivity and new advisers.
"Through our multi-million pound investment in technology and a new broader range of services for advisers, we are positioning the group strongly for the future.
"We are committed to ensuring that the right consumer outcomes are being delivered and can be clearly evidenced, which in turn will enable SBG to remain the leading choice for professional advisers."
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