(Alliance News) - Hargreaves Lansdown PLC on Wednesday reported higher net new business in the fourth quarter, though it noted weaker share dealing volumes amid fragile investor confidence.
The digital wealth management service provider said net new business increased 6.3% quarter-on-quarter to GBP1.7 billion in the three months to the end of June, from GBP1.6 billion.
Closing assets under administration climbed 1.5% to GBP134.0 billion at June 30 from GBP132.0 billion at the end of May. Aside from the GBP1.7 billion net new business boost, assets under administration were lifted by GBP300 million in positive market movements.
It was a muted quarter for share dealing, however.
"Share dealing volumes have averaged 685,000 per month in the quarter, 11% lower than the previous quarter and 12% lower than prior year. Investor confidence across the quarter has been low with cost-of-living issues, rising interest rates and market volatility impacting deal volumes," Hargeaves Lansdown said.
Hargreaves Lansdown reported net client growth of 13,000 to 1.8 million total active clients at quarter-end. New client growth slowed from 23,000 in the third-quarter.
Looking ahead, Chief Executive Officer Chris Hill said: "The breadth of and continued investment into our client proposition, means we remain well positioned to grow and support both new and existing clients with their investment and savings needs."
The company will release its results for the year ended June 30 on September 19.
Hargreaves Lansdown shares rose 4.9% to 881.60 pence each on Wednesday morning in London, among the best blue-chip performers.
By Tom Budszus, Alliance News reporter
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Hargreaves Lansdown (HL.)
