In an article published today on Switzer Daily, finance journalist Tim Boreham looks at the rise of the investment platforms that service the financial advice sector. In particular, Boreham’s article assesses the performance of Praemium.
In their last webinar they were joined by Michael Wayne, MD of Medallion Financial Group, and a question was asked about investment platforms. The ensuing discussion centred on two platforms: Hub 24 and Praemium.
Here’s a snapshot of that webinar.
“Here’s a question from one of our subscribers named Hugh, about the platform HUB24. What’s your view on this investment platform, Michael?”, said Paul Rickard.
“We don't own HUB24, but we own Praemium, which has also been taking off,”
“That's a pretty good chart,” remarked Paul.
“A very good chart,” Michael replied. “I think the whole thematic of platform providers still has a lot to run. We touched upon it earlier. Independent financial planners are really starting to emerge and they use these independent platforms: Netwealth, HUB24, Praemium. They're good business models. The more funds on their platform, the better the margins start to become because the fixed costs remain fixed. So I'm happy to buy HUB24, but our preference is for Praemium,” he added.
“If you look at where HUB 24 was before the crash and where it is now, it really has gone for a big ride,” Peter Switzer said.
“That's why I'd be cautious on it,” Michael replied.
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