BT Financial-owned dealer group Magnitude has recruited its first practice, following its launch in August last year.
QUBE Financial, a three-man practice with offices in Tamworth and Foster, is the first signing, with more practices expected to sign on the dotted line in the coming weeks, according to Magnitude chief executive Mark Spiers.
QUBE head David Hinwood, whose business previously operated under the Charter licence, said the new partnership would provide them with greater support at the practice level, following two years of strong growth, and the recruitment of two planners to service the increasing client base.
“Our practice is based around a client service model, as opposed to product. The target is people who are pre-retirees to retirees, and small businesses because that gives our business the opportunity to grow,” Hinwood said.
“I read that Magnitude had been launched and, yes, I was looking to try and find something different in the industry. It was probably more about what Magnitude could provide than what Charter didn’t.
Magnitude also intends to announce further relationships with external providers, which will provide practice management services to practices as part of their licensee arrangements.
Spiers said that while no formalised growth objectives for Magnitude had been formalised, the dealer group is looking to partner with established financial planning practices, rather than individual advisers.
“We are not about targets in this space, because we are building a very focused licensee for practices seeking to grow. We are aiming to build our position — which is, we want to be the licensee of first consideration for those practices,” Spiers said.
Magnitude offers an unbundled licence fee, and practices pay for those services relevant to their business. According to Spiers “it makes probably one of the most compelling offers in the market for established practices seeking growth”.
