Investments 

Tatton assets grow, but outsourcing arm disappoints

Tatton assets grow, but outsourcing arm disappoints

Tatton Asset Management's assets rose by 24 per cent in the financial year to the end of March 2019, but the company’s chief executive Paul Hogarth said he was disappointed with the performance of its division which outsources to advisers.

Tatton has three business units: the discretionary fund management business, its mortgage club Paradigm Mortgage Services and Paradigm Consulting, which provides advisers with suitability and regulatory support.

The DFM business had assets under management of £6.1bn at the end of March 2019, an increase of 24.5 per cent, with net inflows averaging £92.5m a month during the year.

Meanwhile Paradigm Mortgage Services increased the number of its companies by 14 per cent, to 1,393.

The Paradigm Consulting business had 390 adviser companies as clients at the end of March 2019, an increase of 22 on the previous year but it reported downward pressure on margins.

Mr Hogarth said: "I am very pleased with the performance of Tatton Investment Management which continues to increase AUM and attract net inflows in difficult markets.

"To the extent we are pleased with the mortgage services performance we are disappointed with the lack of growth of Paradigm Consulting though it remains an important component of the group’s strategic makeup."

He said the "sustained growth" in assets and companies using Tatton's services showed its offerings "continue to resonate" with advisers and their clients.

david.thorpe@ft.com

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