26 Oct 2018 07:00
26 October 2018
Nucleus Financial Group Plc
("Nucleus" or the "Company")
Q3 2018 update
Nucleus Financial Group Plc (AIM: NUC), a leading independent wrap platform provider, today publishes an update in respect of the nine-month period to 30 September 2018.
The Company continues to grow AUA, which stood at £14.7bn as at 30 September 2018, up 8.1% year to date and up 14.0% over the previous year. Over the first nine months of 2018, the FTSE All Share Index decreased by 2.2% and the FTSE 100 Index decreased by 2.3% by comparison.
Highlights
- AUA increased to £14.7bn at the end of the period, up 8.1% since the start of the year and 14.0% over the last 12 months;
- Advisers actively using the platform increased to 1,391 at the end of the period, up 5.6% since the start of the year and 7.2% over the last 12 months;
- Customer numbers rose by 4.3% since the beginning of the year and 6.4% over the previous 12 months;
- Nucleus was awarded the UK Platform of the Year award 2018 at the Schroders UK Platform Awards, the third year in succession it has been awarded the top industry accolade.
AUA and inflows
| Quarter ended30 Sept 2018 | Quarter ended30 Sept 2017 | Nine months ended30 Sept 2018 | Nine months ended30 Sept 2017 |
| £m | £m | £m | £m |
Opening AUA | 14,339 | 12,401 | 13,577 | 11,144 |
Inflows | 563 | 687 | 1,828 | 2,011 |
Outflows | (281) | (261) | (820) | (735) |
Net flows | 282 | 426 | 1,008 | 1,276 |
Market movements | 72 | 62 | 108 | 469 |
Closing AUA | 14,693 | 12,889 | 14,693 | 12,889 |
Daily average AUA | 14,585 | 12,715 | 14,097 | 12,148 |
David Ferguson, Nucleus' founder and CEO, commented:
"Nucleus has continued to grow with a solid increase in adviser and customer numbers and strong AUA growth, despite the well-referenced market uncertainty that is continuing to impact investor sentiment. As a result, Q3 flows were below last year's all-time high, although still well up on 2016. Alongside the continued growth in assets we are pleased that outflows as a proportion of opening AUA were reduced in the quarter and across the first nine months of 2018 (6.0% v 6.6%)."
"Of course, it is in exactly these market circumstances that the need for financial advice is at its most pronounced and we believe the soundness of our business model, our financial health and the ongoing investment we are making in our proposition position us well both now and in the future."
Historical flows and AUA data by quarter
| Q1 2016 | Q2 2016 | Q3 2016 | Q4 2016 | Q1 2017 | Q2 2017 | Q3 2017 | Q4 2017 | Q1 2018 | Q2 2018 | Q3 2018 |
| £m | £m | £m | £m | £m | £m | £m | £m | £m | £m | £m |
Opening AUA | 9,069 | 9,386 | 9,800 | 10,659 | 11,144 | 11,897 | 12,401 | 12,889 | 13,577 | 13,527 | 14,339 |
Inflows | 456 | 458 | 434 | 507 | 653 | 671 | 687 | 597 | 665 | 600 | 563 |
Outflows | (219) | (248) | (203) | (214) | (225) | (249) | (261) | (205) | (254) | (285) | (281) |
Net flows | 237 | 210 | 231 | 293 | 428 | 422 | 426 | 392 | 411 | 315 | 282 |
Market movements | 80 | 204 | 628 | 192 | 325 | 82 | 62 | 296 | (461) | 497 | 72 |
Closing AUA | 9,386 | 9,800 | 10,659 | 11,144 | 11,897 | 12,401 | 12,889 | 13,577 | 13,527 | 14,339 | 14,693 |
Daily average AUA | 8,990 | 9,494 | 10,373 | 10,849 | 11,518 | 12,198 | 12,715 | 13,313 | 13,609 | 14,086 | 14,585 |
For further information please contact:
Nucleus
David Ferguson, CEO Tel: +44 (0)13 1226 9800
Stuart Geard, Chief Financial Officer
Shore Capital (Nominated Adviser and Broker)
Hugh Morgan Tel: +44 (0)20 7408 4090
Edward Mansfield
Daniel Bush
Camarco (Media enquiries)
Jennifer Renwick Tel: +44 (0)20 3757 4994
Jake Thomas
Notes to Editors
About Nucleus
Nucleus is a wrap platform founded in 2006 by advisers committed to altering the balance of power in the industry by putting the customer centre stage. It provides independent wrap platform services to over 1,390 active adviser users and works with more than 800 financial adviser firms as at 30 September 2018. It is responsible for assets under administration ("AUA") of £14.7bn on behalf of more than 92,000 customers.
The multi award-winning platform offers a range of custody, trading, payment, reporting, fee-handling, research and integration services across a variety of tax wrappers and more than 6,500 asset choices including cash, OEICs, unit trusts, offshore funds, structured products and listed securities, including ETFs and investment trusts. The platform currently facilitates over 1.1 million customer account transactions on average per month.
Nucleus has won CoreData's 'Best medium sized platform' for 2018 (and the last seven years), the Schroders 'Platform of the Year' award for 2018 (and the last three years) and recently won 'Best Platform' and 'Platform Innovation' at the 2018 Money Marketing Awards.