Bluefin Advisory Services has reported a £62m write-down following the restructure of its private client arm.
Companies House filings made today show in the year ended December 2009 Bluefin Advisory Services saw impairments of £62m related to the restructure. This comes on top of the impairment charges of £40m in 2008 again attributed to a restructure of the private client business.
The Axa-owned group cut its Bluefin Private Clients adviser headcount from 180 to just 50 earlier this year as part of the restructure.
The division, formerly the Thinc Group business, was renamed as Bluefin Wealth Management as part of the changes, which include a shift to a fee-based model ahead of the implementation of the Retail Distribution Review.
Bluefin Advisory Services chief executive John Simmonds (pictured) says the impairments should be the last the company will have to take following the restructure.
He says: “Bluefin Advisory Services is pleased to confirm that it has successfully emerged from the restructuring process a financially stable business. Performance targets for the first nine months of 2010 have been met, and the company fully expects to meet FY10 targets. This write-down – which was fully anticipated – is the final step in the restructure of Bluefin Private Clients.”
A statement from Axa UK – which owns Bluefin – says: “We are happy with the investment we have made in Bluefin Advisory Services, which is proceeding satisfactorily, while significantly restructuring the business to ensure it is best placed to take advantage of the many changes that are happening in the Life industry, especially RDR. We have a clear strategy in place and managing distribution continues to be key to AXA’s future strategy in the UK.”