Adviser-focused platform Wealthtime (previously Novia) has minimize the quantity of possible customer compensation it has put aside over legacy belongings to £10.5m.
It revealed the decrease determine in its outcomes for 2023, revealed final week.
The supply pertains to legacy belongings purchased on to the platform previous to 2017 that, based on the agency, “affected a small variety of purchasers.”
When revealing the doable compensation quantity final yr the agency reckoned it may whole £11.6m.
The Bathtub-based platform stated it made the supply after a “detailed analysis of legacy investments throughout 2023, prompted by the evolving regulatory interpretation of historic steerage.”
It stated the supply was lowered to £10.5m throughout 2023 because of “further evaluation” carried out throughout the yr.
The corporate stated it has PI insurance coverage in place and expects to make a declare ought to the legal responsibility crystallise.
Wealthtime reported pre-tax earnings climbed 17.1% to £10.6m in 2023, with income growing by 17.4% on the earlier yr.
It stated AUA elevated by 1.8% to £8,887m within the yr, pushed partly by an enchancment in fairness market returns throughout the yr.
Patrick Mill, chief govt at Wealthtime, stated: “We delivered strong progress in 2023, regardless of the broader market challenges that the business confronted.”
Wanting forward he stated: “This yr we proceed to deal with, and put money into, remodeling our service to attain the most effective outcomes for advisers and their purchasers.”
AnaCap Monetary Companions purchased the Novia platform in 2021 so as to add to its current Wealthtime platform.
