Hargreaves Lansdown has reported a 10% rise in assets under administration (AUA) and net new business of £3.3bn in the four months to 30 April, largely helped by a recovery in investor confidence and the launches of the Woodford Income Focus fund and the HL Select UK Income Shares fund.
In its latest trading statement released today, the group reported net new business of £3.3bn during the four-month period under review, and year to date this rose to £5.6bn.
AUA increased by 10% from £70bn to £77bn in the four months to 30 April, while total net revenue was £131m. The group said this was a result of net new business, higher market levels and strong share dealing volumes.
This makes year to date net revenue £316m, 17% higher than the same time in 2016.
Hargreaves Lansdown attributes the successful performance to "a recovery in investor confidence ahead of the tax year end" and also a number of launches that took place during the period.
It said the launches of the CF Woodford Income Focus Fund and its own HL Select UK Income Shares fund boosted inflows as well as the new higher ISA allowance from 6 April 2017 and the launch of Lifetime ISA.
It also benefited from increased digital marketing presence, and transfer activity. The group saw 56,000 new clients during the period, taking active client numbers to 932,000.
Chris Hill, who became CEO of Hargreaves Lansdown earlier this year following the departure of Ian Gorham, said: "We are pleased to report a strong period for net new business, reflecting the diversified nature of Hargreaves Lansdown.
"The breadth of our product offering combined with the provision of high quality services tailored to help meet the needs of our clients has allowed us to deliver significant growth over a period of improving investor confidence.
"These attributes position us well for the structural growth opportunity in the UK savings and investments market."
Chairman to depart
Meanwhile, the group also announced its chairman of almost a decade, Mike Evans, is to step down from his role.
Having been chairman of Hargreaves Lansdown since December 2009 and a member of the board since 2006, Evans intends to leave once a successor is identified.
He said: "Chairing Hargreaves Lansdown over the past eight years has been a real privilege. I have seen the group grow significantly and establish itself as the UK's leading retail savings and investments platform.
"I believe the group is exceptionally well positioned for the next phase of growth under the leadership of Chris Hill and I am immensely grateful to my fellow board members, the founders and all of my colleagues at Hargreaves Lansdown for their support during my tenure as chairman."
Hill added: "Under Mike's guidance, the group has become a successful FTSE 100 business combining strong client focus with high service standards. I am grateful for Mike's insight and contribution to this journey and wish him well going forward."
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