Hogarth aims for £30bn of assets under management at Tatton

Paul Hogarth

Tatton Asset Management, the Wilmslow-based investment management and Independent Financial Advisor (IFA) support services group, has seen a large leap in revenue and profits in the full year ended 31 March 2024 due to record levels of Assets Under Management and net inflows.

Group revenue increased by 13.9% to £36.8m (2023: £32.3m), while profit before tax improved to £16.8m (2023: £16.0m).

Commenting on the longer term outlook of the business Paul Hogarth, chief executive, said: ”Looking ahead, we are very optimistic about our growth trajectory and the opportunities that lie ahead. Our goal is to exceed our £30 billion AUM/I target, enhance our market position, and continue to support and champion the IFA community. Our focus will remain on maintaining organic growth, improving operational efficiency, and fulfilling our commitments to our stakeholders. We are confident that our strategic approach, coupled with our dedication to excellence, will lead to continued success and solidify our position as a leading asset management firm in the UK.”

Hogarth also acknowledged the impact of Private Equity consolidators on the IFA over the last few years? “They have led the consolidation trend in the platform market, where numerous platforms are now owned by PE. They have also backed IFA consolidation and, indeed, the leading consolidators are nearly all owned by PE. I do not necessarily see this as a bad thing, as this highlights the true value of IFA practices. The principals of the IFA businesses are, therefore, encouraged to grow and invest in their business to take advantage of this at a future date.”

On the results, Hogarth said: “This has been another exceptional year for the Group. We achieved a substantial increase in net inflows, totalling £2.3 billion, with a particularly strong finish in the second half, especially in the last quarter. This performance underscores the organic growth potential in our market, culminating in an end-of-year AUM/I of £17.6 billion—26.9% higher than at the start of the year and 17.4% above our three-year target of £15 billion.

“As promised, we have set a new milestone for the future: we aim to grow our AUM/I to £30 billion by the end of the financial year 2029. I am pleased to report that we have made an encouraging start towards this goal, achieving net inflows of approximately £0.9 billion in Q1 FY25. To put this in perspective, £0.9 billion was the same level of net inflows we achieved in the first half of FY24, the year under review.

“Whilst this is a very positive start, it is important to note that several large new mandates have boosted net inflows. We are delighted with this, but we do anticipate a return to a more normalised run rate for the remainder of the year.”