Moneyfarm said its assets under management (AUM) has grown by 15 per cent to reach £2.6bn in the first half of the year.
In its half year results, to the end of June, it reported that the number of active clients had increased 15 per cent compared to the same period last year and now stands at 125,000.
There were also over 650,000 users on its platform.
The firm said growth continued throughout July and August with the acquisition of Profile Pensions, adding £870mn in AUM, to reach £3.5bn in AUM overall, and 24,000 clients.
Giovanni Daprà, co-founder and CEO of Moneyfarm, said: “A lot of our competitors use the term digital wealth manager, but in reality, I don’t believe that anyone is as advanced as we are in delivering on the breadth and depth of product offering coupled with the strong relationships we have with our clients.
“Since we launched the business, our approach has been to make investing simple, to provide a range of low-cost diversified portfolios, that takes into consideration the client's risk tolerance and investing preferences.”
“I am very pleased with our results for the first half of 2023 and what we have achieved against the current market and political backdrops.”
In addition to the direct to consumer (D2C) proposition, Moneyfarm’s business to business (B2B) division has grown.
In the first half of 2023 it delivered two solutions, first with M&G Plc to launch the &me investment app and the second with eToro, the online trading platform, to provide its clients with a discretionary managed Isa solution.
Daprà said: “It is further proof that our business model, made up of human expertise in our investment consultants, with the most advanced digital technology, is appreciated by an ever-increasing number of investors.
“But it isn’t just our direct to consumer offer that is being recognised, we have seen huge interest from financial institutions that want to utilise our technology skills and solutions for their own clients, such as the launch of &me with M&G and the Isa solution for eToro.”
Meanwhile, Moneyfarm said while many wealth managers are struggling to see a growth in the number of females investing, in the UK, it has seen an 8 per cent increase in the number of female clients in comparison to the same time last year, with 32 per cent of clients being female today.
In addition to this, the firm said the data for the first half of 2023 confirms the growth in clients looking to invest in sustainable portfolios.
The socially responsible investment (SRI) portfolios that launched in 2021 have seen continued growth with 42 pr cent of clients having opted for these portfolios since they launched.
In the UK 36 per cent of new clients invested in the ESG portfolios, an increase of 33 per cent compared to the same time last year.
Earlier this year, Moneyfarm appointed former Virgin Money boss Dame Jayne-Anne Gadhia as its chairperson.
sonia.rach@ft.com
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