The list continues to use data compiled using data from our research partner Matrix Solutions, an ISS Market Intelligence company, via the Financial Clarity service. That provides a snapshot of some of the very best advice companies working in the UK today.
But in uncertain times, we wanted to make sure our list recognises businesses’ efforts to improve professional standards and maintain public trust in their services. So this year, for the first time, our methodology rewards companies that are either chartered by the Chartered Insurance Institute or accredited by the Chartered Institute for Securities & Investment. Full details of all businesses that meet these criteria be found online in the bodies’ respective company directories.
While the weighting afforded to this metric is relatively low in absolute terms, it has had a notable impact on this year’s rankings. As larger businesses are typically less likely to be chartered at a company level, the observable effect is that the change has been of benefit to smaller businesses – partially offsetting the emphasis placed elsewhere on flows and assets under management.
Key Points
- AUM held on relevant platforms accounted for an average of 48 per cent of each adviser’s score.
- Net flows as a proportion of AUM accounted for an average of 23 per cent of each adviser’s score.
- Company age accounted for an average of 9 per cent of each adviser’s score.
- CF30s as a proportion of AUM accounted for an average of 8 per cent of each adviser’s score.
- Asset retention accounted for an average of 6 per cent of each adviser’s score.
- Estimated performance accounted for an average of 2 per cent of each adviser’s score.
- CII or CISI company-level accreditation accounted for an average of 4 per cent of each advisers’ score.
And while just one of the top three companies is either chartered or accredited, eight of the top 10 and 16 of the top 20 do have such a status.
Of course, to ensure the list remains a dynamic, relevant ranking of advisers’ businesses, there are many other factors that we continue to take into account.
We look at the growth rate of advisory businesses, AUM and asset retention, the number of years’ experience each business has managing assets in different economic and interest-rate environments, and how well qualified their individual advisers are.
