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Financial Services

Hargreaves Lansdown increases revenues, decreases new client intake

The UK asset manager was supported in its first quarter by widening net interest margins

Hargreaves Lansdown PLC (LSE:HL.) (HL) the UK financial services provider and asset manager, added 17,000 new clients in the first quarter of its financial year, according to its latest trading statement.

Although this was 6,000 fewer new clients year on year (YoY), retention rates managed to improve slightly.

Net new business totalled £700mln in the quarter - down from £1.3bn YoY - with total assets under management falling by £1.8bn to £122.7bn in the quarter. Active Savings accounts comprised the majority of new inflows.

Total revenues in the quarter of £162.9mln represented a 12.7% YoY uptick, encouraged by an increase in net interest margins.

In the statement, HL chief executive officer Chris Hill said: "The impact of the challenging macroeconomic and geopolitical backdrop on asset values, client confidence and propensity to invest has been seen across our industry.

“Our focus remains on helping new and existing clients navigate these tough times and engaging with them to help improve their financial resilience.“

Hargreaves Lansdown is on track to launch a new US Fund launch on November 1, 2022, and the pilot launch of its ‘Augmented Advice’ platform later in the year.

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