Fund Management
Purchases Of UK Investment Firms Over Platforms Rose 29 Per Cent In Q2 Vs Year Ago - AIC
Purchases of investment companies via platforms by advisors and wealth managers in the UK rose by 29 per cent in the second quarter of this year from the same period in 2013, hitting a record high of £120.9 million ($195.1 million), data shows.
Purchases of investment companies via platforms by advisors and
wealth managers in the UK rose by 29 per cent in the second
quarter of this year from the same period in 2013, hitting a
record high of £120.9 million ($195.1 million), data shows.
Such purchases of investment companies in the 12 months to June
2014 reached £422.9 million, up by almost half (48 per cent)
increase on the same period a year ago and up 112 per cent on the
twelve months ended June 2012.
The Global and UK Equity Income sectors were again the most
popular area, accounting for 18 per cent and 16 per cent of the
total purchases of investment companies in Q2 respectively. The
next most popular sectors in Q2 were Infrastructure, Property
Direct – UK and Global Emerging Markets, AIC said.
Transact and Ascentric continue to be the top platforms for
investment company purchases, with market shares of 46 per cent
and 22 per cent respectively in the first half of 2014. Alliance
Trust Savings is third with 17 per cent of the market share.
The figures suggest that platforms are becoming a more
widely-used route to buy investment trusts, as well as other
products. They allow advisors to manage clients’ portfolios
online. With the Retail Distribution Review and other measures
driving up costs, use of electronic systems to handle client
money efficiently is seen increasing.
“Advisor purchases of investment companies have increased every
quarter but there is still plenty of demand for training. This
autumn our adviser education programme continues with online and
face-to-face seminars and we have recently launched a new
introductory guide on investment companies,” Ian Sayers, director
general of the AIC, said.
Total purchases through platforms in Q2 2014 were at a record
£23.4 billion, a 6 per cent increase on Q1 2014.
