Profits slip at Frenkel Topping following acquisition

Financial advice firm Frenkel Topping Group saw its profits slip in 2015 after acquiring a new fund management business.

The Manchester-headquartered company, which expanded last year with new offices in Leeds, London, Birmingham and Cardiff, achieved a year-on-year revenue increase of 10% in 2015 with takings rising to £6.3m.

Frenkel Topping’s pre-tax profit, however, fell by £27k to £1.29m, due in large part to the deduction of legal fees associated with the September acquisition of FC Fund Management Limited and the additional costs of running the business.

FC Fund Management, now trading as Frenkel Topping Investment Management Limited, was acquired from FCFM Group Ltd for £4.4m in shares.

Richard Fraser, CEO of Frenkel Topping, said: “The company continued to strengthen its offering during the period.

“The addition of new fee earning consultants and regional offices helped drive AUM growth while the acquisition of FC Fund Management Limited has enabled us to revisit our broader offering.”

He continued: “As such, having negotiated new arrangements, we will be able to provide a low cost proposition for the provision of advice and management to our clients.

“We look forward with confidence to growing AUM and generating shareholder value in 2016 and beyond.”

As of December 31, the firm had £666m in assets under management, compared to £619m the year previous.

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