Asset Management

Hargreaves Struggles To Attract New Money In Uncertain Trading Conditions

Mark Shapland Reporter London 15 October 2014

Hargreaves Struggles To Attract New Money In Uncertain Trading Conditions

British investment platform Hargreaves Lansdown pulled in new money at a slower rate in the past three months as geopolitical strife and weak economic data caused stock market uncertainty.

British investment platform Hargreaves Lansdown pulled in new money at a slower rate in the past three months as geopolitical strife and weak economic data caused stock market uncertainty.

The company - through which retail investors can access hundreds of products such as stocks and bonds - attracted just under £1 billion ($1.6 billion) of net new money in the three months to the end of September, compared with £1.3 billion in the previous quarter.

"Potential stock market gains are a key incentive for retail investors to act and have not been present this quarter, as markets have reflected uncertainty regarding the Scottish referendum, concern over Middle East and Ukrainian conflicts and unfavourable euro zone economic data," said Ian Gorham, chief executive.

The firm said total assets under administration increased by £100 million to nearly £47 billion for the quarter. Active clients also rose - by 10,000 to 662,000 - and client retention remained strong at 92.3 per cent. 

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