St James’s Place has been promoted to the FTSE 100 Index after a strong year of market cap growth.
The wealth management company is valued at £4.5bn and had its place in the headline index confirmed last week. SJP was ranked 90th in the UK in terms of market cap at the close of trading on 4 March, which triggered the move.
The FTSE 250 company’s share price has surged in the past year as former majority shareholder Lloyds Banking Group sold down its stake in three stages. It has risen about 70 per cent in the last 12 months.
SJP chief executive David Bellamy says: “This achievement is a well-deserved recognition of the hard work and commitment shown by everyone in the SJP community over the 23 years since the company was launched.
“We have remained focused on our belief in the value of face-to-face advice and the importance of putting the client at the centre of everything we do. This will not change and will continue to be the foundation of our future growth. It is a proud moment for the company.”
Chelsea Financial Services managing director Darius McDermott says the company will get a short-term boost when the index trackers start buying shares in the company.
He says: “It is good to see more non-bank financials make it in to the FTSE 100. Hargreaves Lansdown, the other obvious advice firm in the index, is a very different business to SJP and they are both very good at their respective businesses.”