View more on these topics

Hargreaves clients choose pensions over Isas

Ian-Gorham-presenting-at-Platforum-conference-2013.jpg

Hargreaves Lansdown says it has seen “significant inflows” of pension assets following the pension freedoms, with a swing to Sipp investments rather than stocks and shares Isas.

In its interim results for the six months to 31 December, the company says the average new contribution into a Vantage Sipp rose by 13 per cent over the period, with 25 per cent more clients contributing to their Sipp than in the first half of last year.

But the average subscription in the Vantage stocks and shares Isa fell by 6 per cent, with a 12 per cent decline in the number of clients subscribing. This has been attributed to “significant market volatility”, but Hargreaves says the run-up to the end of the tax year remains key for new Isa business.

Hargreaves is pressing ahead with plans to launch cash deposit and peer-to-peer lending services, which are planned for the autumn. The company says it can deliver these services without the need of a banking licence.

It is also planning to launch a High Income fund multi-manager fund later this year, having launched a Strategic Assets fund last week.

Its multi-manager funds were a bright spot in the results, with inflows of £369m in the six months, up 35 per cent on the same period last year. Assets in the multi-manager funds now stand at £5.9bn.

Overall Hargreaves has posted a pre-tax profit of £108.1m, a 6 per cent increase compared with the £101.9m profit made at the same time in 2014.

Total assets under administration are up 20 per cent year-on-year, from £49.1bn to £58.8bn.

Hargreaves chief executive Ian Gorham says: “Against a backdrop of fluctuating stockmarkets, Hargreaves Lansdown has continued to be the most popular destination for UK retail investors, with excellent new business for the period.

“In particular the pensionfreedoms continue to attract huge interest as we prepare for the important tax year-end period.”

Recommended

barclays-building-2012-700x450.jpg

Barclays bids for TD Direct to rival Hargreaves Lansdown

Barclays has emerged as a surprise bidder for stockbroking firm TD Direct Investing in a bid to rival retail investing giant Hargeraves Lansdown. Sky News reports Barclays has put in a bid for the TD business and is among a small number of firms looking to acquire the firm. TD Direct Investing is being sold off […]

Tom-McPhail-2009-700x450.jpg
3

Hargreaves rethinks role in ‘stillborn’ secondary annuity market

Hargreaves Lansdown is reconsidering whether to play an active role in the secondary annuity market as it warns a lack of interest from investors could see the creation of a “stillborn” marketplace. The Government is planning to allow people to sell their annuities from April 2017. Providers will be able to buy back their own […]

UK-Currency-Money-Coin-Pounds-GBP-700x450.jpg

Hargreaves Lansdown director sells £3.7m shares

Hargreaves Lansdown investment marketing director Ian Hunter has sold £3.7m of shares in the firm. Hunter sold a total of 252,441 ordinary shares at a price of £14.67 per share, equating to 0.05 per cent of the ordinary shares issued. Hunter sold 52,441 shares at a strike price of £6.87 and 200,000 shares at an exercise price of […]

Pensions-savings-retirement-piggy bank

Hargreaves calls for 30-day pension transfer deadline

Hargreaves Lansdown has called on the Government to impose a 30-day deadline on pension transfers. As part of its response to the Treasury’s consultation on barriers to pension freedoms, the firm collected evidence of transfer times. An analysis of 20,000 transfers reveals electronic transfers took an average of 8.34 days to complete while postal transfers […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment