Inter-Alliance wants to be the UK's dominant national IFA, with plans to
overtake Bradford & Bingley by the end of the year by bringing 147
graduates on board.
The IFA wants to take its number of registered individuals up to 900 from
the current 634. It says it will achieve this target through organic growth
and by integrating the 147 graduates it is training.
Rival IFA Bradford & Bingley has around 660 registered individuals.
Inter-Alliance's plans were unveiled as it published its preliminary
results for 1999. Turnover was up by 141 per cent to £12.79m from £5.31m.
The IFA predicts that turnover will more than triple to £41m this year. But
it made a loss of £968,000 last year, an improvement from 1998's loss of
£1,526,939. It says 1999's loss was due to expenditure on new projects and
Chief executive Stuart McGreevy says the growth will be fuelled by
Inter-Alliance's “integrated” distribution strategy, including e-commerce,
while it will also shift towards fee-based advice.
McGreevy says: “We are moving increasingly to a new remuneration model
based on fees. Clients value advice. The products slot in afterwards.”
Chase de Vere Investments managing director Nigel Mitchell, whose firm is
up for sale, believes a deal with a life and pension IFA would be “an
The firm plans to recruit 80 new staff this year and hopes a buyer will
take on board the ideas of the management team. Woolwich, Bradford &
Bingley and Misys have been named as potential buyers.
Mitchell, in an interview with Money Marketing, says: “Given we are an
investment IFA, if you looked at a strategic buyer who had an IFA branch
but who deals primarily in life and pensions, then they would be an obvious