SJP looks to raise up to £1bn to buy out partner businesses - reports
investmentweek.co.ukNew SJP chief executive Mark FitzPatrick (pictured).
Speaking toThe Financial Times, the advice giant's chief operating officer, Iain Rayner, said the business had seen pressure from higher interest rates.
According to the report, buying the books of retiring advisers has become significantly less appealing to younger advisers within the network due to interest rates and regulatory pressures.
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There are 2,622 partner firms with the SJP network and around 4,800 self-employed financial advisers working within them.
«We have been thinking about how we increasingly employ equity alongside debt to help with succession planning,» Rayner said. «Providing continuity of client servicing if and when advisers retire and being able to occasionally move client relationships around the partnership is really important to us.»
The report comes amid a raft of changes for the UK's largest employer of financial advisers, with SJP having announced a major overhaul of its fee structure back in October.
As of this month, SJP has a new leader at the helm in the form of one-time Prudential chief executive Mark FitzPatrick. Former CEO Andrew Croft stepped down in November after 30 years in charge.
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