Good morning and welcome to your Morning Briefing for Friday, 16 April, 2021. To get this in your inbox every morning click here.
Long live vertical integration?
Providers running in-house advice arms, platforms and model portfolios seem to have found a formula for success. But are their clients getting the short end of the stick?
Our in-depth feature takes a look at the future of vertical integration. Is a one-stop shop model appealing for all concerned?
Putting the trust in master trusts
Have we put too much trust in master trusts? Is the current system a problem waiting to happen? Will progressive organisations or the old-guard win out?
Financial Technology Research Centre director Ian McKenna warns a master trust misselling scandal could be bubbling beneath the surface if we’re not careful.
Quote Of The Day
We’re hugely encouraged by the strong initial reaction to our IPO and welcome BlackRock, Jupiter, Mawer, Lazard and Janus Henderson Investors to our shareholder register as cornerstone investors. Allfunds has maintained very positive momentum through the first quarter of 2021, as we look to realise the fantastic opportunity ahead by offering best in class service for our clients, driving growth and continuing the journey we began in 2000. I look forward to the remainder of the listing process and delivering on our ambition to shape the digital transformation of the wealth management industry.
– Allfunds founder and chief executive Juan Alcaraz as the European platform announced its indicative price range and published its prospectus
Stat Attack
Specialist emerging markets assets manager Ashmore Group has published an update on its assets under management for the quarter ended 31 March 2021.
Assets under management
| Theme |
Actual 31 December 2020(US$ billion) |
Estimated 31 March 2021(US$ billion) |
Movement (%) |
| External debt | 19.3 | 17.5 | -9% |
| Local currency | 20.6 | 18.6 | -10% |
| Corporate debt | 11.6 | 11.4 | -2% |
| Blended debt | 24.7 | 23.3 | -6% |
| Equities | 6.5 | 6.8 | +5% |
| Alternatives | 1.3 | 1.4 | +8% |
| Multi-asset | 0.3 | 0.3 | – |
| Overlay / liquidity | 8.7 | 10.6 | +22% |
| Total | 93.0 | 89.9 | -3% |
In Other News
The House of Lords has voted in favour of an amendment to the Financial Services Bill to impose a cap on standard variable rates charged to mortgage prisoners.
According to the wording of the clause, the cap would apply to borrowers who are unable to switch lender and whose mortgage is owned by an inactive or unregulated business.
Lords voted 273 to 235 in favour of keeping the amendment, however the Bill now returns to the House of Commons and the UK Mortgage Prisoners action group is urging MPs to support the proposal.
From Elsewhere
Remote working fuels burnout in finance sector (Financial Times)
Matt Hancock and sister own shares in NHS contract firm (BBC News)
Make stamp duty cut permanent, says OECD (The Telegraph)
Brexit led over 440 finance firms to shift some business to EU (Bloomberg)
HSBC beats £118m Stanford Bank ponzi scheme claim (Law360)
Did You See?
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