Good morning and welcome to your Morning Briefing for Tuesday 3 December 2024. To get this in your inbox every morning click here.
MPS assets grow by a third as costs halve in three years
Assets in discretionary model portfolio service (MPS) grew by over a third (36%) in the 12 months to September 2024.
And costs fell by almost half in three years, from 1% to 0.54%, according to NextWealth’s latest bi-annual MPS tracking study.
NextWealth said growth is being powered by strong markets plus a shift from advisory and bespoke discretionary models. This is being fuelled by the Consumer Duty which is leading advisers to outsource investments.
TIME Investments secures FCA Sustainability Impact accreditation
TIME Investments has earned the Sustainability Impact label under the FCA’s new Sustainability Disclosure and Labelling Regime for its TIME:Social Long Income Fund.
The accreditation highlights the fund’s commitment to investing in assets that deliver a positive societal impact.
Following this recognition, the fund has been renamed the ARC TIME Social Impact Property Fund.
MM Meets: Aberdein Considine Wealth chief executive Jen Paice
Jen Paice did not set out to be the boss of a large wealth management business, writes chief reporter Lois Vallely. Initially, she wanted to be a physiotherapist.
But she says the skills she learned from her training in this area stood her in good stead for her subsequent career, including the role she’s now in.
“I don’t ever think that physio was a waste of time because the skills I learned, about listening and analysing things and trying to find a solution, have really helped me throughout my career,” she says.
Quote Of The Day
Although past performance is never a guarantee of future returns, December has historically been a standout month for global stock markets with the so-called Santa rally delivering the goods
– eToro Analyst Sam North on the December stock market ‘Santa rally’
Stat Attack
New data on mortgage lending from the Bank of England shows that lending into retirement has remained at a high level despite falling mortgage rates.
The latest data, obtained by LCP partner Steve Webb, shows that in the most recent quarter for which data is available (Q2 2024), just over two in five of all new mortgages had terms which run past pension age. This compares with barely three in 10 new mortgages at the end of 2021.
Source: Bank of England
In Other News
Wealth manager Ascot Lloyd has announced the appointment of Mary O’Connor as a non-executive director (NED) to its Group Board.
Mary brings over 30 years of leadership experience across financial services, including roles at professional services firms, regulatory bodies and private-equity-backed businesses.
Most recently, she served as divisional CEO for capital advisory and placement at Howden Broking Group. Before that, she was acting CEO of KPMG UK, where she also held positions as chief risk officer, head of clients and markets, and a seat on the UK Board.
Her career includes key leadership roles at Willis Towers Watson (WTW), where she was divisional CEO and previously global head of financial institutions and group head of risk and compliance.
Mary also served at the Financial Conduct Authority (FCA) as head of the approved persons and SIF regime.
Currently, Mary holds NED positions at Carne Group, Europe’s largest independent third-party fund manager, and has previously served on the board of The Charity Bank.
Mike Covell, chair of the Ascot Lloyd Group Board, said: “Mary’s extensive experience and proven leadership will be invaluable as we continue to drive growth and innovation. Her appointment reflects Ascot Lloyd’s ability to attract top-tier talent.”
MAPFRE AM, MAPFRE Group’s asset management arm, has announced plans to adopt BlackRock’s Aladdin platform.
This makes MAPFRE the first insurance company in Spain to implement the technology.
MAPFRE AM will leverage the Aladdin platform’s risk analytics, portfolio management, trading and operations applications to unify the investment management process for all its public and private market assets across its €60bn portfolio.
The adoption of Aladdin technology will introduce a fully connected, scalable platform that supports MAPFRE AM’s investment activities globally.
The platform will equip MAPFRE AM’s investment professionals with an end-to-end solution that delivers enhanced data analytics, portfolio construction and risk management, further streamlining the company’s operations and helping drive its growth strategy.
The collaboration solidifies MAPFRE AM’s technological leadership and drives the company’s broader growth ambitions by accelerating digital transformation.
The integration of Aladdin technology will be rolled out in phases across MAPFRE AM’s key investment locations across the world.
UK facing increased hostile activity in cyberspace, security official warns (Reuters)
France faces ‘moment of truth’ as government on brink of collapse (Bloomberg)
Starmer rejects false choice between Trump’s US and EU in key speech (The Guardian)
Did You See?
Swedish wealth manager Söderberg & Partners has taken stakes in three more advice firms as part of its buy and build strategy.
The three firms are Hoyl Independent Advisers Ltd, Intelligent I-FA Ltd and Mosaac Ltd.
Hoyl Independent Advisers Ltd is a national IFA firm based in Cromer, Norfolk, that has over £3bn in assets.
It also has offices in Chelmsford, Derby and London, and a network of 42 advisers covering the whole of the UK.
Intelligent I-FA Ltd is a Midlands-based firm that manages more than £300m in client assets and has a team of 13 advisers.
It offers personalised advice on pensions, investments, mortgages and protection for individuals, families and businesses.
Yorkshire-based Mosaac Ltd offers independent advice on investments, pensions, mortgages and protection to businesses and individuals, and has over £230m in assets.
Söderberg & Partners now has an interest in over 20 UK adviser businesses.
