The new chairman of Standard Life’s financial advice arm has said the firm’s leadership shake-up has not changed plans to swing into profitability this year.
Yesterday (6 September) 1825 announced that Steve Murray had taken on the newly created position of chairman and would be replaced as chief executive by Julie Scott, currently the company’s chief operating officer.
Mr Murray said Standard Life had been very patient with 1825 and the restructure would not lead to any change in strategy.
He said: “It is business as usual for us. We will push forward and crack on.
“We said that towards the end of 2017 we would expect it to be a positive contributor.
“I think we will see, on that run rate basis, that becoming positive at the end of the year.”
He said the only thing which might change these plans would be if 1825 bought a business which was loss-making but he said he doesn’t “see that happening”.
Mr Murray said: “When we were looking around we felt these changes would position us really strongly for the next growth phase.
“It is always best to do these things when you are in control of them.”
Last month Standard Life reported 1825 now has 73 financial planners with more than 8,600 clients and assets of £3.4bn.
This was from a standing start with the acquisition of Pearson Jones in May 2015, which brought in assets of £1.1bn and 39 advisers and paraplanners.
As part of the changes Mr Murray will focus more on strategic development and will take on the wider role of managing director for commercial and strategy for Standard Life.
He added that 1825’s acquisition pipeline is “looking good” and he predicted the company would make a number of purchases in the second half of 2017.
Last year 1825 bought London-based Baigrie Davies, Glasgow-based Munroe Partnership and Crewe-based Jones Sheridan.