First half hard work pays off for specialist independent advisor
Salford-based specialist independent advisor Frenkel Topping says six months of hard work in the first half of its financial year have paid off in the second half.
Announcing annual results for the year to December 31, 2018, today, the firm delivered a record £92m of new investment mandates in a 12 month period.
The firm, which is focused on asset protection for the vulnerable, also achieved a 10th consecutive year of very high client retention (98%) for investment management services, and its assets under management (AUM) increased by 3.6% to £779m, up from £752m.
Revenues of £7.7m compared with £7.3m the previous year, although the pre-tax profit fell from £1.9m in 2017 to £1.1m for 2018.
Net cash and marketable securities stood at £2m, compared with £1.9m last time.
Shareholders will see a 0.32p increase in the total proposed dividend of 1.29p per share.
During the first six months the company embarked on a period of significant investment in marketing, HR, the Frenkel Topping Academy and technology, stabilising the business and preparing it for future growth.
Chief executive Richard Fraser said: “The board is pleased to report a year of progress, underpinned by significant investment across the business.
“Last year we identified a number of risks to Frenkel Topping’s development and embarked on an investment strategy to help grow and protect the business in a challenging market environment and mitigate these risks.
“During the year we invested £0.7m across the business, mainly on IT systems, FTG Academy and marketing.
“This resulted in a 43% rise in new investment mandates and a 33% increase in Expert Witness instructions, the latter a key pipeline for future AUM growth.”
He added: “The company is in a good position as we scale up for our next period of growth.
“We remain focused on delivering outstanding service to our clients and sustaining our very high client retention rate, as well as consolidating our position as the UK’s leading asset manager for personal injury and clinical negligence awards.”
He said: “Current trading is encouraging and we have had a solid start to the new financial year, underpinned by recent investment and our conservative investment approach.”
