Legal & General-owned platform Cofunds has reported pre-tax profits of £5.9 million for the year 2012, a decline of 17% from £7.1 million in 2011.
Assets under administration (AUA) on the platform grew 33% to £47.6 billion, up from £35.8 billion the previous year. Turnover increased 5% to £73.8 million from £70 million in 2011.
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Cofunds has reported an annual profit fall of 15% for 2012, despite increasing turnover and AUA.
The platform said it expects market conditions to remain challenging while it also remains in discussion with the Financial Conduct Authority over the effects of incoming platform rules.
A statement in the firm’s accounts says:"The group expects that existing competitors and new market entrants will continue to provide strong competition and consistent with the broader economic environment, market conditions will remain challenging."
L&G completed its £131 million acquisition of Cofunds in March following months of negotiations between the firms. Following the deal, the platform has suffered a number of high-profile exits, with L&G employees moved over to handle the transition.
The departures include chairman Charlie Eppinger, chief executive Martin Davis, head of operational services Stephen Mohan and director of marketing Verona Smith.
