Half of largest IFAs lose third of value

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More than half of the 1,000 largest IFA businesses in the UK have lost at least a third of their value in the last 12 months, research suggests.

According to a two-year study conducted by Plimsoll Analysis, 541 of the top 1,000 independent financial advice firms by turnover have seen their value drop by more than 30% over the last year. In total, 751 companies are worth less than they were last year, while the remainder have increased their value, an achievement Plimsoll describes as "remarkable". Plimsoll assesses businesses using criteria including sales growth, profitability, working capital, immediate liquidity and gearing. It calculates the total value of an IFA by adding pre-tax profits to interest charges and then s...

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