Trading Update and Notice of Interim Results

RNS Number : 3669S

Mattioli Woods PLC

30 November 2012

 



 30 November 2012

Mattioli Woods plc

("Mattioli Woods" or "the Group")

Trading Update and Notice of Interim Results

Mattioli Woods plc (AIM: MTW.L), the specialist pensions consultancy and wealth management business, today issues the following trading update in advance of its interim results for the six months ending 30 November 2012, which are to be announced on Tuesday, 29 January 2013. 

Highlights

·      Strong results from recent acquisitions

·      Development of post-RDR adviser charging model

·      Discretionary portfolio management launched in August 2012

·      Appointed operator of The Pilgrim SIPP in June 2012

·      Regulatory change creating new opportunities

Bob Woods, Executive Chairman, comments:

"Increased activity since the summer months and strong results from recent acquisitions have delivered further profitable growth.  The first half of this financial year has been dominated by the launch of our discretionary portfolio management service and preparing for the implementation of the Financial Services Authority's ("FSA's") retail distribution review ("RDR"). 

"I am excited about the opportunities RDR will bring.  Some commentators have suggested clients of independent advisers may not commit to a fee-based approach.  I expect the move from a commission-based remuneration model will test most advisers' client relationships, but am confident our proposition will strengthen the goodwill we already enjoy from our clients. 

"Inevitably, we will see changes to the nature of our investment-related revenues as we move from provider commissions to adviser fees based on assets under advice.  I believe the quality of our future earnings will be enhanced by the introduction of adviser fees and discretionary portfolio management.  

"Our discretionary proposition has attracted over £40 million of assets under management since 1 September, increasing recurring revenues and delivering better service to clients.  We are developing our wealth management platform and have strengthened our team with the recruitment of two new investment consultants. 

"At Kudos Independent Financial Services Limited, we expect newopportunities to arise from auto-enrolment and a drive towards total reward and flexible benefits in the employee benefits market. 

"Our third party administration business, City Pensions Limited ("City Pensions"), has enjoyed strong profit growth following its relocation to Leicester, enhanced by its appointment to operate The Pilgrim SIPP ("Pilgrim").  Our appointment to operate Pilgrim also benefitted our property business, Custodian Capital Limited ("CCL"), which now administers 11 property syndicates on behalf of Pilgrim members.  CCL also saw £11.0 million of new investment into six new syndicates during the period. 

"The FSA has published proposals to increase the regulatory capital requirements for self-invested personal pension ("SIPP") operators.  These proposals would not apply to Mattioli Woods' core business but would increase the capital requirement of City Pensions by approximately £0.75 million, which would be met from the Group's existing financial resources. 

"I believe the significant increases some SIPP operators would see in their regulatory capital requirement under the FSA's proposals would drive further consolidation in the market, presenting us with new acquisition opportunities. 

"Our goal is to position Mattioli Woods as a 21^st century financial services business, built on the foundations of impartial strategic advice, technical excellence and the provision of an increasing number of our own bespoke products and services.  The duality inherent in being both product provider and adviser is a strong model, which I am confident brings benefits to clients, will create value for shareholders and deliver results in line with management's expectations for the year." 

Notice of Interim Results

Mattioli Woods will be announcing its interim results for the six months ending 30 November 2012 on Tuesday, 29 January 2013.  An analyst briefing given by Bob Woods, Executive Chairman and Nathan Imlach, Finance Director will be held at 09:30 hrs on 29 January 2013 at FTI Consulting, Holborn Gate, 26 Southampton Buildings, London, WC2A 1PB. 

Those analysts wishing to attend are asked to contact Jack Hickey at FTI Consulting on [phone] or at [e-mail].

- Ends -

For further information please contact:

Mattioli Woods plc
Bob Woods, Executive Chairman	Tel: [phone]
[e-mail]	www.mattioli-woods.com
Ian Mattioli, Chief Executive
[e-mail]
Nathan Imlach, Finance Director
[e-mail]

Canaccord Genuity Limited
Martin Green	Tel: [phone]
Bruce Garrow	www.canaccordgenuity.com

Notes to editors

Mattioli Woods is one of the UK's leading and fastest growing providers of specialist pension consultancy and wealth management.  Its core services and advice are targeted towards the higher end of the market including controlling directors, professionals, owner-managed businesses and small to medium-sized PLCs. 

The Group is focused on the application and administration of self-invested personal pensions ("SIPPs"), small self-administered pension schemes ("SSASs"), personal investment and estate planning.  Through Mattioli Woods and its subsidiary City Trustees Limited, a provider of bespoke pension administration, the Group now advises over 4,000 pension fund clients throughout the UK with assets under advice and administration in excess of £3.0 billion.  For corporate clients we provide a comprehensive range of employee benefits services.

Mattioli Woods has a focus on providing the highest level of personal advice, maintaining very close relationships with all its clients.  The strength of its personal relationships has led to high levels of client satisfaction, retention and referrals.  Mattioli Woods provides clients with the following:

·     Pensions and investment consultancy

·     Personal wealth management

·     Bespoke pension scheme administration and trusteeship, particularly for SIPP, SSAS and Group schemes

·     In-house investment research and broking

·     Property syndication, through Custodian Capital Limited

·     A range of employee benefits services, through Kudos IFS Limited

·     Structuring of investment products tailored to a particular client's needs

·     Assistance and advice with securing preferential banking arrangements

For more information, please visit www.mattioli-woods.com, www.custodiancapital.com, www.citytrustees.co.uk and www.kifs.co.uk. 

 

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