SJP: RDR will curb wealth adviser growth

Wealth manager St James’s Place (SJP) has seen a 13% rise in new business, with its new business profit jumping to £246 million over the 12 months ended 31 December.

Operating profit also grew, climbing to £371.5 million.  SJP's top-line was boosted by strong inflows over the stretch, with these rising to 10% to take the firm's funds under management to £3.3 billion.

'I am pleased to report another record year for St. James's Place in terms of new business, operating profits and funds under management,' SJP chief executive  David Bellamy said, unveiling the results.

'This performance, in market conditions that were far from helpful, is a testament to the strength of the Partnership and the breadth of our investment proposition. I'm particularly pleased with the £3.3 billion net inflows of funds which took funds under management to £28.5 billion at the year end,' Bellamy added.

RDR will lower partner numbers

While noting a 6% rise in partner - or wealth adviser numbers - over the period under review, SJP said that the upcoming retail distribution review will have an impact.

'We anticipate that a small number of existing partners will retire earlier than previously expected this year, in advance of the changes brought about by the Retail Distribution Review and consequently we expect the 2012 net growth in the Partnership to be slightly lower than recent years,' the firm said.

Board reshuffle

Meanwhile, SJP appointed Baroness Wheatcroft as an independent non-executive director, taking effect from 2 April.

The appointment was made as SJP announced the retirement of Roger Walsom, a non-executive director who had served on the firm's board since 2005.  Walsom will leave the SJP Board on 8 May.

Charles Gregson, chair of SJP, welcomed Baroness Wheatcroft to the company's team of independent non-executive directors.

'[She] brings a wealth of business, board and senior management experience and her appointment is an important further step in the ongoing development of the SJP board,' Gregson said.

'On behalf of the board, I would also like to thank Roger for his substantial contribution over the last 7 years.'

Baroness Wheatcroft is a member of the House of Lords and a senior financial journalist, working previously as editor-in-chief at the Wall Street Journal, Europe. She has been a non-executive director of Barclays Group and Shaftesbury.