OMGI transfers £63m Isa accounts to Hargreaves

OMGI managing director Warren Tonkinson

Old Mutual Global Investors is to transfer £63m worth of Isa accounts to Hargreaves Lansdown.

OMGI plans to move its 3,200 Isa customers to Hargreaves with effect from 24 February 2018 and stop its Isa service on the 27 February.

The asset manager says the decision comes as clients increasingly demand online access to the Isa accounts, which OMGI does not currently offer.

This marks the sixth similar transfer to the UK’s largest direct broker in the past two years. Previous deals have seen Hargreaves buy £90m of assets from world’s largest money manager BlackRock as well as more than £500m in combined assets from RIT Capital Partners, Legg Mason, Jupiter and JP Morgan Asset Management.

OMGI managing director Warren Tonkinson says: “At OMGI, we are dedicated to ensuring investors’ best interests are at the heart of any service we offer. Therefore, following careful consideration, we have decided our Isa investors will be best served by moving their holdings to a direct-to-consumer platform that can provide an up-to-date, online service.

“We believe Hargreaves Lansdown, with its customer-centric approach and user-friendly technology, will meet our investors’ needs going forward and we look forward to working with them on the smooth transfer of these assets.”

Hargreaves Lansdown chief executive officer Chris Hill adds: “Investor digital trends are moving rapidly with mobile access and functionality now an expectation rather than a nice to have. We are pleased to support OMGI’s decision and look forward to welcoming these new clients to the Hargreaves Lansdown investment service.”