Quilter chief executive Paul Feeney has said the company will be continue repositioning its advice business to ensure a greater focus on productivity.
In its half year results published today (August 11), the chief executive said the business will be focusing on adviser productivity as a means of strategically aligning Quilter with its advisers.
Speaking to FTAdviser this morning, Feeney said: “We've now put the most modern digitally advanced wealth platform into the market and we've also launched a great investment solution so it's about having the courage of our own convictions.
“The more that we invest in our own advisers who don't want to use our products or services or platforms, the less money we have to invest in those advisers and advisory firms who do. It’s about strategic alignment, it's about Quilter aligning with its core financial advisers, and the financial advisers aligning with Quilter.”
In the results, Quilter said as part of its transformation agenda, it will continue investment to simplify end-to-end processes and strengthen controls and will be investing in efficiency and digital initiatives to improve productivity.
As part of this drive, the number of Quilter restricted advisers fell from 1,842 at the end of 2020 to 1,701 at the end of June 2021.
Earlier this year Gemma Harle, Quilter Financial Planning's managing director, told FTAdviser the number of advisers leaving the company would be dialled down during 2021 as productivity improved.
Feeney said: “We've got a very strong proposition, quality assured choice and we need to commit to it together. It's about making sure that we're all on the same journey, and if we are it's better for everybody.
“It's better for advisers because we can invest more in their firms and invest more to support them, and also in time, whether it's practice buyouts, retirement etc. But if advisers don't want to use our investment services or our platforms but they want us to take all their advice liability onto our balance sheet - that's quite frankly not a good relationship for either of us.
“It's more now about just having the courage of our convictions, I believe we built the best proposition in the whole of the adviser market, and it's about us committing to those advisers on the journey with us and, and them committing to us.”
In the results, Quilter also said productivity for advisers has gone up from £1.5m per adviser to £2.2m in the last six months.
Feeny added: “Our productivity is significantly improved for those advisers who have now committed to us and we have committed to. Not only productivity has gone up but overall flow is up by 30 per cent because it's possible to increase productivity by just removing unproductive advisers, but your overall flows go down, if you just do that.
“What we see here is a big increase in productivity, and a big increase in overall flow. That's the power of the partnership of Quilter and of our own advisers.”