The Editor 

Platforms’ profitability problem

John Hughman

Platforms’ profitability problem

If you had listened to our podcast, the Investment Hour, last week, you will have heard Phil Oakley and myself discussing the issue of how much money Hargreaves Lansdown makes from its clients’ undeployed cash. It is a chunky figure – revenues of £91m at a margin of 74 basis points, making it the group’s most profitable business line. Without fully understanding the mechanism, it would simply seem that Hargreaves is earning interest on clients’ cash which it isn’t passing on to them. And it is undoubtedly not alone in this practice. 

To continue reading, subscribe today

and enjoy unlimited access to the following:

  • Tips of the Week
  • Funds coverage
  • Weekly features on big investment themes
  • Trading ideas
  • Comprehensive companies coverage
  • Economic analysis
Subscribe
Subscribe to Investors Chronicle

Related topics

Subscribe today

Full access for just £3.37 a week:

• Tips and recommendations - to beat the market 
• Portfolio clinic & Mr Bearbull - build a well-planned portfolio 
• Expert tools - track and manage investments effortlessly
• Plus free delivery to your home or office

Subscribe Now