Nucleus sees rise in assets as AIM float beds in
REVENUES at Edinburgh investment business Nucleus Financial grew by 11 per cent over the first half of the year as a result of a rise in the level of assets invested on its platform.
The firm, which raised £32 million when it floated on the alternative investment market last month, said revenues for the six-month period were £21.7m, up from £19.6m for the same period last year.
The increase came despite Nucleus last year cutting the fees it charges people with large sums invested via its site, with a 15% increase in assets under administration.
Despite net inflows falling from £850m to £726m, total assets held using the Nucleus platform grew from £12.4bn to £13.3bn.
Last year the firm cut the annual charge for accounts worth between £500,000 and £999,999 from 0.25% to 0.175% and from 0.15% to 0.05% for anything bigger. Fees for accounts worth up to £499,999 remained unchanged at 0.35%.
Nucleus chief executive David Ferguson said the number of independent financial advisers using the site to invest client money had risen 3% over the first half to hit over 1,350.
Mr Ferguson said he was “pleased” the business had been able to report an increase in revenue and assets under administration despite “market volatility”.
The business will announce its full results for the period, which will be its first as a listed company, in September.