St James’s Place has announced a 13 per cent decline in pre-tax profits for its distribution arm, from £6.1m in 2011 to £5.3m for 2012.
The firm’s end of year results, published this morning, show an overall profit before shareholder tax increase of 22.7 per cent for the combined life, unit trust and distribution business from £109.7m to £134.6m.
The number of SJP advisers was up 8 per cent to 1,788 for the year while the number of diploma qualified advisers and support staff now exceeds 2,000.
The firm reports total FSA and FSCS costs of £9m for 2012, a 50 per cent increase in the £6m for 2011.
Chief executive David Bellamy says: “We believe that we are uniquely positioned in the UK wealth management market because we have chosen to promote our services exclusively through our dedicated adviser team, the St James’s Place Partnership. Increasing the number of partners and providing them with the tools and support to deliver high quality outcomes for clients are key drivers to our achieving our long term business growth objectives.”
The firm increased its full year dividend 33 per cent, from 8p to 10.64p.
Total single investments rose 13 per cent to £5.88bn and total funds under management were up 22 per cent by the end of the year to reach £34.8bn.
Bellamy says: “The continuing growth and maturity in funds under management has, as expected, translated into strong growth in the cash result. Consequently we have been able to grow dividends by 33 per cent in each of the last three years and have the confidence today to signal a similar significant increase for 2013.”