Specialist wealth management company Frenkel Topping has revealed it lost £35m of assets under management (AUM) to rivals after several experienced staff left.
The information was revealed by company management alongside the annual results for the business yesterday (9 April).
Frenkel Topping reported revenues up from £6.4m to £7.3m for the year to 31 December 2017. Gross profit was £4.8m.
The total dividend was 10 per cent higher.
Richard Fraser, chief executive of the company, said the departure of a number of senior staff to a rival financial advice business over the past year had resulted in about £35m of assets leaving the company.
He said the staff left to join the financial planning division of the law firm Slater and Gordon.
Mr Fraser said the departures were the result of the individuals who left the firm “not agreeing with the direction” the company is taking.
Frenkel Topping is a specialist wealth management firm that also provides expert witness services to people pursuing legal action. Many of its clients are people with particular medical needs or requiring additional levels of care.
This has prompted the firm to instigate its own academy, to train the advisers it wants to work for its business with special skills in dealing with people who may be undergoing stressful treatments.
The chief executive said this is because the company feel the advisers it employs must have all of the standard qualifications but also an exceptional level of emotional intelligence to do the job.
The company hired five recruits for the academy last year and will do the same this year.