Investors split on Hargreaves ahead of pricing announcement

Fund managers investing in Hargreaves Lansdown are torn on whether to add to positions as the company readies the next phase of its RDR-friendly business model.

While Hargreaves shares have risen 63% over the past 12 months, Newton’s Richard Wilmot (pictured) expects volume growth to provide another leg-up for the company, as it moves to change its charging structure. Wilmot introduced Hargreaves to his £2.2bn Newton Higher Income fund this year. “Assets under management at Hargreaves are relatively low for the size of the market opportunity. They have got the potential to grow even in a falling market,” he said. But with the group about to introduce a new fee structure as the industry moves away from the old commission model, others are m...