Old Mutual Wealth has reported record net inflows for the first quarter of the year of £2.7bn as the firm boosts its executive team with senior hires.
The growth in inflows was mainly driven by “integrated flows” of £800m for the first three months of the year, compared with £500m this time last year. The flows contributed to nearly 60 per cent net client flows growth in the first quarter to £2.7bn from £1.7bn in the first quarter of 2016.
Old Mutual Wealth’s platform net flows increased to £1bn in the first quarter of 2017 from £700m in the same period a year ago.
Old Mutual Global Investors net inflows almost doubled from £1.1bn last year to £2bn this year, while flows for discretionary business Quilter Cheviot stalled at £200m.
Year on year, the Old Mutual Wealth platform saw the biggest jump in funds under management among all businesses growing from £35.4bn in March 2016 to £44bn this year. OMGI followed with an extra £8bn FUM in the first quarter to £34.6bn year on year.
Money Marketing previously reported, as at 30 June 2016, 26 per cent of OMGI net flows were through Old Mutual Cirilium portfolios, which is the OMGI multi-asset investment solution available to Intrinsic restricted advisers.
Chief executive Paul Feeney says: “We have started the year very strongly with our highest ever quarter for net client cash flow and funds under management.
“Our first quarter 2017 net flows, particularly onto the platform and into OMGI, demonstrates that advisers and customers are increasingly recognising the strength of our model and that we are offering investment solutions that meet their needs.
“While we are hopeful that this momentum will continue throughout 2017, we expect that markets will remain volatile and challenging in the medium-term, particularly until both the outcome of the upcoming general election and greater details on the terms of the UK’s exit from the EU are known.”
In a separate announcement, OMW says it has hired current non-executive director Tim Tookey as chief financial officer at the firm, subject to regulatory approval. Tookey is former Lloyds finance director and most recently chief financial officer of Friends Life Group.
Old Mutual Wealth oversees £122.2bn in customer investments as at 31 March 2017.