Meanwhile, its nine-month cumulative net inflows of £3.44bn to the end of March show a 59% increase year-on-year from 2012’s £2.17bn.
Execution only: Advisers’ friend or foe? Read on to find out…
“It is too early to fully quantify the potential effects of reduced access to financial advice for the UK public as a result of RDR,” the firm said in an interim management statement, “Accelerated client growth and increased volumes of business transfers since 1 January 2013, together with data analysis of client behaviour support our view that self-directed investing through Hargreaves Lansdown is increasingly recognised as a sensible and good value imperative.”
The firm experienced a 127% rise in net inflows to its discretionary portfolio management service in the past nine months.
Hargreaves’ share dealing volumes also rose 19% year-on-year for the quarter to the end of March.
All this led to a 23% increase in revenue for the quarter to £73.6m from £62.1m in the three months to end of March 2012.
Could you offer an execution only service to up income streams? Find out more here…
But the company warned investors that some caution was warranted. “While markets remain buoyant, underlying themes such as eurozone debt issues, economic woes and instability in certain regions of the globe remain. A substantial negative event resulting in a sharp downturn in stock markets would affect revenues in the short term.”
Hargreaves Lansdown’s share price was up 4.14% in early morning trading, one of the top performers of the day. In the past year its share price has risen 105.4% and currently sits at 938p.
Look out for more on this story later today, including the funds that hold Hargreaves Lansdown and what it is the company feels it is doing right…
