St James’s Place is in advanced talks to acquire an international advice business in Asia.
According to its year-end results for 2013, published today, the firm it is trying to acquire has an existing team of advisers in Singapore, Hong Kong and Shanghai and specialises in offering advice to expatriates in the Far East.
Profits before shareholder tax increased 41 per cent year-on-year, from £134.6m to £190.7m, although its distribution arm saw a £5.3m profit for 2012 turn to a £6.1m loss a year later.
This was driven by Financial Services Compensation Scheme costs of £5.5m, costs associated with increasing adviser numbers 9.5 per cent to 1,098 and the loss of tax relief on advice costs due to the RDR.
The firm says the loss of tax relief on advice will hit profits by up to £4m each year for the next seven years.
Chief executive David Bellamy says: ”It’s clear that our clients place great value on our approach to the management of their wealth and the long lasting relationships forged with our partners and supported by the company. This will continue to be our focus.”
Funds under management grew 27 per cent year-on-year from £34.8bn in 2012 to £44.3bn in 2013.
Total single new investments reached £7.2bn in 2013, up 22 per cent from £5.9bn in 2012.