FinTech: UK Fintech True Potential Clocks Its Best Year Ever In 2020
However, True Potential said it had a “bittersweet” year due to the pandemic.
True Potential is a technology-focused provider of financial solutions that works with about 20% of the U.K.’s financial advisers. In 2020, the company clocked record turnover and solid profits after rapidly adapting its digital technology to pandemic conditions. (BusinessLive)
A bittersweet year
Daniel Harrison, the company’s chief executive, said: “This is a fantastic set of results for True Potential and rounds off what was a bittersweet year. Bitter, because one cannot reflect on 2020 without referencing the Covid-19 pandemic and the harm it has caused, but sweet, because 2020 was by far and away our most successful year in business.”
“Whilst never wishing for a pandemic, it has however proven that the True Potential model and our diversified approach is the right way to run a financial services business.”
“Whilst others in our industry have floundered, we thrived in 2020. That has enabled us to support more charitable and community organizations with our partner, the Harrison Foundation.”
True Potential: The 2020 numbers
The True Potential group reported a turnover of £184.9 million in the year ended December 31, 2020, up from £144.9 million in 2019.
Profits rose to £74 million during the year, an increase of 59% on 2019’s figure of £46.6 million.
Meanwhile, assets under management surged 33% to £4.2 billion. The firm also topped the charts for net inflows in Q4 2020 with £1 billion.
The group employs 305 persons at its Tyneside head office. During the pandemic, and enforced lockdowns, it innovated new digital software to streamline the client-advisor interaction process.
The firm told FT Adviser that this ‘hybrid advice’ model, which combines financial advice with client-led technology, was available to 93,000 clients. This was a key factor that drove sales to record levels.
It appears the good times are continuing into 2021. Harrison revealed that the group had enjoyed its most profitable month to date and third best on record for new investments and that he was “full of optimism for the year ahead.”
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