Parkwell Search & Selection

UK Wealth Managers See 20% Client Growth Wealth Managers and Financial Advisers across the UK are gearing up for substantial client growth over the next few years. This recent research highlights that 64% of professionals in the sector expect a 20% or more increase in clients by 2027. This increase is largely driven by the rising numbers of mass affluent and high net worth clients, along with strategic investments in technology. As the industry increasingly embraces technology, it's not just about boosting efficiency (46%) but also offering more personalised, client-centric services (29%). These findings underscore the bright future of wealth management, where market demand and technological advancements are paving the way for strong growth. parkwell.co.uk #WealthManagement #ClientGrowth #FinancialServices

**Private Markets Myth-Busting 3: Understanding Illiquidity Risk** Illiquidity risk often deters individual investors from private markets, but should it? Private markets inherently come with different risk/return profiles, of which illiquidity plays a significant part. This doesn't mean they aren't a viable or valuable investment option. Private investments can result in opportunities for higher returns and better diversification. Around 85% of U.S. companies with annual revenues over $100m are privately owned, showing the substantial investment potential beyond public markets. While liquidity concerns many investors, tolerance varies widely depending on individual goals and timeframes. Investors with a long-term perspective may find private markets particularly appealing. Different categories within private markets, such as private equity, offer varying degrees of risk and return. These can align with diverse investment strategies, such as venture capital, growth equity, or turnaround opportunities. UK renewable infrastructure, although illiquid, offers predictable returns with lower risk, showcasing the breadth of investment opportunities within private assets. Institutional investors, including pension funds and sovereign wealth funds, have long incorporated private markets into their portfolios for diversification and enhanced returns. New UK private market fund structures provide wealth managers with greater flexibility in integrating these assets. As the private market landscape evolves, so too do opportunities for individual investors to benefit. #PrivateMarkets #Investment #RiskManagement #WealthManagement

Ready for the next step? Further to the success of our June Remuneration Event, we are excited to announce our next major event—Autumn Remuneration ll - Key Industry Trends 2024! This October, industry leaders will gather to share insights on the current challenges facing the Wealth Management sector, and you won't want to miss this. We're thrilled to have James Brown, Research and Client Services Director at Compeer, kick off the event.He will unveil the latest findings from Compeer's in-depth remuneration survey, covering data from over 12,500 professionals in the UK wealth industry. This survey provides a detailed overview of salary trends across key business functions, offering invaluable data that can shape your strategic decisions. Secure your spot to gain insights from industry leading speakers, including Parkwell Search & Selection Recruitment Team,who will share their insights and perspectives on the HR and recruitment challenges we're all facing in the current climate. The ongoing challenge of achieving the right work-life balance, employee engagement and talent management are key subjects for business leaders today. The event concludes with a stimulating panel discussion and audience Q&A, followed by networking and refreshments. Register via Parkwell's website or the link below. Attendance is complimentary for: representatives from the wealth management, asset management, and private banking sectors. CPD certificates and materials will be provided to attendees after events. ATTENDEES SHOULD INCLUDE: Representatives of wealth management firms, asset management firms or private banks. C-level & senior managers, Chief Executive Officers. #WealthManagement #Remuneration #Parkwell #PrivateBanking

Ready for the next step? Further to the success of our June Remuneration Event, we are excited to announce our next major event—Autumn Remuneration ll - Key Industry Trends 2024! This October, industry leaders will gather to share insights on the current challenges facing the Wealth Management sector, and you won't want to miss this. We're thrilled to have James Brown, Research and Client Services Director at Compeer, kick off the event. He will unveil the latest findings from Compeer's in-depth remuneration survey, covering data from over 12,500 professionals in the UK wealth industry. This survey provides a detailed overview of salary trends across key business functions, offering invaluable data that can shape your strategic decisions. Secure your spot to gain insights from industry leading speakers, including Parkwell Search & Selection Recruitment Team who will share their insights and perspectives on the HR and recruitment challenges we're all facing in the current climate. The ongoing challenge of achieving the right work-life balance, employee engagement and talent management are key subjects for business leaders today. The event concludes with a stimulating panel discussion and audience Q&A, followed by networking and refreshments. Register today using the provided QR code. Attendance is complimentary for: representatives from the wealth management, asset management, and private banking sectors. CPD certificates and materials will be provided to attendees after events. ATTENDEES SHOULD INCLUDE: Representatives of wealth management firms, asset management firms or private banks. C-level & senior managers, Chief Executive Officers. #WealthManagement #Remuneration #Parkwell #PrivateBanking

Big Opportunity in Private Markets The landscape for asset managers is rapidly changing. Bain & Co. reports that diversifying into private markets is now essential for survival. As traditional public market investments face slumping margins and dwindling management fees, the shift towards private markets isn't just an option, it has become a necessity. According to Bain, the share of private-market assets under management is set to surge, potentially reaching $65 trillion by 2032. This transformative trend is driving firms to rethink and innovate their strategies, pursuing new asset classes to capture the promising revenue opportunities. #AssetManagement #PrivateMarkets #InvestmentTrends #WealthManagement

Firms Struggle with New SDR Regime The UK's sustainability disclosure requirements (SDR) are causing significant challenges for asset managers. As of now, nearly no funds have received approval under the FCA's new regime, with even some big organisations facing rejections. Product developers in WhatsApp groups describe the process as "horrible" and "complex." FCA's efforts via consultations and webinars haven't alleviated the confusion. With the December deadline looming, many asset managers are uncertain about meeting sustainable fund labelling and marketing rules. The principles-based nature of SDR is particularly difficult. Firms must meet specific criteria for at least 70% of a fund's assets and select relevant KPIs, which many insiders find most challenging. Has the FCA once again provided an almost insurmountable hurdle to the Asset Management sector? #SDR #AssetManagement #Sustainability

Capital Gains Tax Hike: A Threat to UK Equities? High-net-worth investors are wary of potential changes to the UK's capital gains tax (CGT). A survey by Connection Capital underscores these concerns. Between 18 June and 21 July, half of the respondents said a potential CGT increase would make them invest less in both private and public equities, with 7% possibly ceasing such investments entirely. This uncertainty arises from speculations around the Labour government's need to raise CGT to address a £20bn gap in public finances. Any rate rises could impact investment strategies, with 88% of surveyed investors feeling less confident than a year ago. Private investors are crucial in supporting companies lacking traditional funding. A substantial CGT hike could dampen investment enthusiasm and delay exit plans as investors await potential future tax reductions. #Investment #Finance #CapitalGainsTax #HNW #WealthManagement

Is Wealth Management Being Pinkwashed? The wealth management industry is facing significant changes particularly as women increasingly control more of the world's wealth. Despite this, there's concern that the industry is not keeping pace with these changes. Is wealth management being effectively tailored to meet the needs of female clients, or is it just being pinkwashed? Currently the adviser market is bent towards an ageing group of professionals and a lack of diversity. With a considerable transfer of assets projected, the industry must adapt to the evolving demographic and preferences of its new wealth controllers—one being women. To truly meet future needs, wealth management needs to embrace a more inclusive and client-centred approach. https://parkwell.co.uk #WealthManagement #GenderEquality #FinancialPlanning

Artificial intelligence is rapidly shaping the future of wealth management, offering both opportunities and challenges in equal measure. The benefits are clear: AI can enhance decision-making, personalise advisory services, and automate routine tasks, allowing wealth managers to allocate more time to what matters most - their clients. With AI's expanded capabilities, managers can offer bespoke solutions that were once beyond reach, demonstrating the potential of technology to revolutionise the sector. However, there is another side to that coin. The data security risks associated with AI's pervasive power cannot be understated. Wealth Managers need to implement rigorous data protection strategies to shield sensitive client information from cybersecurity threats, ensuring that trust - the cornerstone of client relationships - remains intact. Aligning with advanced AI technology while safeguarding client privacy requires a commitment to continuous learning, regulatory compliance, and investment in top-tier security measures. Managers embracing AI, yet firmly upholding data integrity, strike the delicate balance between innovation and client assurance. As we advance, wealth managers that merge AI's analytical strength with the empathetic quality of human interaction will regard AI as a trusted ally in navigating the investment landscape. #WealthManagement #ArtificialIntelligence #DataSecurity

In just five years, almost 50% of the UK's financial advisers plan to retire. Beyond retirement beckoning, there's growing dissatisfaction with the work climate and the constantly changing regulatory hurdles. With massive assets at risk and a talent gap on the horizon, the industry faces a number of critical questions, among these: What's the succession strategy and how do you retain client assets when the trusted adviser has moved on? #FinanceSector #WealthManagement #FinancialPlanning