Proactive Investors - Run By Investors For Investors

Hargreaves Lansdown client deals jumped 49% after Brexit

Volatility and rallying multinationals plumped up Hargreaves figures for the quarter, but the stockbroker warned of falling investor confidence and uncertainty over the future.
investor in front of screens
"Uncertainty about the future economic environment weighing on investors' minds."

Stockbroking firm Hargreaves Lansdown Plc (LON:HL.) revealed a Brexit boost, with the volatility sparking heighted dealing activity among its clients.

The number of client initiated deals jumped by 49% in the three months following the EU referendum. The tally amounted to 1.03mln deals, compared to 691,000 in the same period of 2015.

At the same time the rally in blue-chip share prices saw the value of Hargreaves Lansdown’s assets under administration increase by nearly £6bn, to £67.6bn at the end of September.

That said, the stockbroker summed up the current mismatch of share prices driven largely by currency factors, as the pound has tumbled, and a broader rise in uncertainty.

This is manifest in a 22% drop in new business inflow and a 17% drop in the number of new active clients during the period.

“Despite the higher stock market levels, investor confidence has fallen and there remains much uncertainty about the future economic environment weighing on investors' minds,” the company noted.

It added: “As ever, future stock market levels and investor confidence will have a significant part to play during the remainder of our financial year.

“However, we remain confident in the execution of our strategy to take advantage of the structural growth opportunity in the UK savings and investments market to the benefit of our clients and shareholders.”

View full HL. profile View Profile

Hargreaves Lansdown Timeline

Related Articles

PCF
December 05 2018
“I think we’re a different generation of bank that is a lot quicker on our feet, a lot quicker at reacting to what customers want and are a lot more attractive to the savings market,” PCF boss Scott Maybury said
S&U
Tue
"Over the past 25 years, S&U has consistently demonstrated its ability to adapt to the kinds of economic and political uncertainty we all currently face," said chief executive Anthony Coombs.
CSE head office in Toronto
January 01 2019
Capital raised on the CSE set to increase over 500% by the end of 2018

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use