What Tavistock Investments does:

Tavistock Investments is a UK asset management and financial advisory services business. The company has 200 advisers that look after 50,000 clients and more than £3.5bn of investments.

The group provides compliance, administration and accounting services to independent financial advisers as well as wealth management, advice and financial planning to individuals.

The company recently announced plans to improve profitability by selectively purchasing client books from retiring advisors, investing in initiatives to increase the inflows of funds under management (FUM) and reducing net debt through scheduled repayments of its loan facility with NatWest.


How it’s doing

In its half-year results in November, the company almost doubled underlying profits as funds under management rose for the eighteenth quarter running.

Managed funds rose by 18% to £1.1bn in the half-year to September, helped by strong inflows into two protected funds launched last year.

Another protected fund with an environmental, social and government theme is to be launched shortly.

Underlying profits [EBITDA] rose 95% to £1mln, while gross revenues picked up 2% to £14.3mln.

There was a pre-tax loss of £13mln (£187mln) as Tavistock took a write-off of £133,000 on its terminated venture with Lighthouse.


Inflexion points:

  • Trading has remained in line with market expectations despite “challenging” market conditions caused by Brexit anxiety and international trade disputes.
  • Tavistock has two protected products, the ACUMEN Capital Protection Portfolio (ACPP) and ACUMEN Income Protection Portfolio (AIPP), which attracted over £100mln of inflows by the end of the year.
  • Earlier this year, it launched i-stock, a smartphone app that provides retail investors with access to its wealth funds through a free ISA or general investment account, with a self-invested pension plan due to be made available “in due course”.


What the CEO says, Brian Raven:

“We see these results as particularly encouraging given the backdrop of political uncertainty and the market headwinds that have impacted our industry and the country. “

“It is difficult to predict how markets will react and how investors may behave in the months ahead.

“Political events might have a significant impact on our business, however, we believe our commitment to developing strong partnerships, as well as broadening our investment proposition, will drive further growth.”