View more on these topics

Rise in IFA business lifts gloom at Misys

The 19 per cent organic growth rate achieved by Misys&#39 IFA business in the

last year helped make it the company&#39s best performing sector.

But despite the success of the financial services division, Misys&#39 share

price plummeted from 532p to 308p following the announcement of its annual

results last week. The figures came on the back of poor performance in its

banking and securities division.

Misys&#39 overall operating profit was down from £82m to £75m.

Delays in completing banking and security orders means there will be150

jobs losses among its 3,000 staff in that division.

Acquisitions helped increase revenue at Misys Financial Services by 53 per

cent to £314m from £205m last year. Operating profits were up by

44 per cent to £27m from £19m.

Misys says its £75m acquisition in June of rival IFA network DBS

Management, including the Assureweb portal, will strengthen its IFA

activities and accelerate the development of its m-link electronic trading

portal if regulatory approval is received.

Developing the internet portal through its merger with Assureweb is a

priority and it plans to increase investment in this area from £3.8m

last year.

Misys says up to £10m invested in portal development will help take

manual activity out of the process and allow low-cost, high-quality

transactions to be completed online.

Chairman Kevin Lomax says: “Growth in mass affluence is driving organic

growth of Misys Financial Services. The cost pressure on product providers

to charge only 1 per cent of asset value, half of what they currently get,

is encouraging them to use low-cost distribution channels with small admin

costs.”

Recommended

Torquil Clark urges appointed adviser for stakeholder

Torquil Clark has written to new pensions minister Ian McCartney to urge him to ensure every stakeholder scheme has an appointed advisor. The IFA says this would allow the benefits of scheme membership to be adequately promoted to staff and also give employers the required level of support for the management and administration of schemes.The […]

Sandler review terms out next week

The terms of the Treasury-sponsored review of retail investment headed byRon Sandler are expected to be published next week. Sandler attended ameeting at 11 Downing Street on Tuesday to discuss the remit of the review.It is widely expected to look at the prices and comm-ission structures ofretail products such as with-profits bonds, unit trusts and […]

Inscape takes a sipp at the pension market

Inscape, the investment management arm of Abbey National, has brought in the Inscape self invested person pension plan (Sipp).A full Sipp, the product is aimed at existing customers of Inscape who have an initial amount of at least £2,000 to invest in a pension that allows them control over where their money will be invested. […]

Fixed rate thriller from the Newcastle

Newcastle Building Society has introduced a three year fixed rate mortgage that is available for loans of up to 90 per cent of valuation.The mortgage is fixed at 5.55 per cent until August 30, 2004 and is available to all borrowers up to a maximum loan of £250,000.Borrowers who redeem during the fixed rate period […]

US loan growth is not painting a pretty picture for the US economy

Written by Mike Riddell One of the current big debates in global financial markets is whether investors should believe ‘hard’ rather than ‘soft’ data, where the usually reliable business and consumer surveys have been suggesting strengthening in global growth momentum for some time now, while the economic data that feeds through into the Gross Domestic […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com