‘More advisers quitting than predicted post-RDR’

The chief executive for national wealth manager Bellpenny’s chief executive said the completion of the firm’s latest deal “reinforced his belief” that more advisers were heading for the exit.

Mr Ronaldson added: “We’re talking to several other professional services firms that are now rethinking their wealth management strategy as we approach the first anniversary of the RDR.” His comments followed the latest acquisition for Bellpenny – West Sussex-based IFA Spofforths Financial Planning – which brings in a solid client bank and has £100m in funds under management.

Spofforths Financial Planning’s client base has assets evenly split between pensions and investment business, and constitutes the IFA arm of accountancy firm Spofforths LLP.

Article continues after advert

The deal is Bellpenny’s 12th since launch in 2012, and the third that involves accountancy firms. It recently exceeded £1bn in funds under management.

Adviser view

Philip Wise, managing director of Spofforths Financial Planning, said the sell-off would allow the firm to focus its efforts on financial planning and wealth management in conjunction with the broader service clients receive from the rest of the Spofforths group. He said a review of the firm’s services and the “increasing burden of regulation” had driven the decision to offload the client base.