HALO Invest formally launched to take aim at UK market
Wholly owned by HALO Technologies (ASX: HAL), HALO Invest is aiming for rapid growth in its distribution channels across Britain in the coming year following its formal UK launch in December 2023.
In early 2023, it acquired 100% of London-based financial services entity Resolution Funds Management as the perfect vehicle for its entrance into the UK market.
The Financial Conduct Authority granted regulatory approval for change of control in September, clearing the path for the launch of HALO Invest.
The company recently announced the appointment of experienced financial services executive Douglas Boyce as CEO to lead the business’ expansion into the UK market.
HALO is an online global equities research and trade execution software solution provider that brings sophisticated institutional-grade analytical frameworks and market insights to everyday investors.
It includes two integrated offerings in HALO Global – designed for hands-on investors who want professional grade tools without the cost – and HALO Trading, which offers global trade execution capability and ready-made themed investment portfolios that are ideal for ‘low touch’ investors, ‘values based’ investors and self-directed pension funds.
Leveraging an established UK regulatory structure
With a solid platform of ongoing success in the Australian market on which to build, HALO is taking unique product offerings to the United Kingdom as part of its international expansion strategy.
The creation of HALO Invest via the acquisition of an established UK based financial services entity was designed to leverage an established regulatory structure to launch products and services into a new and growing market.
In anticipation of approval being received from the FCA, HALO has locked in place the necessary business infrastructure, management team, and business systems to commence distributing its products in the UK.
Proven growth momentum
Since listing on the ASX in late April 2022 with an IPO that raised a net $19 million to fund its strategies, HALO has experienced continued strong growth in funds under management (FUM) and client numbers.
In the 12 months to December 2023, HALO Technologies’ FUM grew by 101.5% to $417.9m while client numbers have grown by 21.6% to 3,617.
The growth in both of these key metrics has been driven by a combination of organic client acquisition, equity market performance and consolidation of client accounts onto the HALO platform.
Third-party distribution channels
A key element of HALO’s growth strategy is the development of third-party distribution channels. This involves partnering with external financial advisers, brokers and asset allocation consultants, with whom HALO enters into distribution, reselling, or co-branding arrangements to distribute HALO products to their own clients.
This method leverages existing client networks and is a highly-effective way to increase market penetration quickly and efficiently.
Brokerage revenue for August 2023 has already surpassed the previous monthly record set back in November 2021.
Innovation a central focus
Another key component of HALO’s growth strategy is its focus on generating new and innovative technical solutions and expanding its partnerships.
For example, the Company has recently developed a new order management system that greatly improves the process flow and removes friction points associated with the execution of its model portfolios for financial advisers using the HALO platform.
It allows them to easily execute individual trades, bulk trades and portfolio rebalances on behalf of their clients.
Making it easier for external advisors to service their clients with HALO products is critical to promoting their adoption and growing distribution channels across the UK market.
The company also maintains a continuous product enhancement program that recently saw it launch a new property based product, taking it beyond its historical focus on equities and expanding its offering into a large new market.
Leadership and experience
Doug Boyce said he can’t wait to get to work in raising the profile of HALO Invest in the UK market.
With over 30 years’ experience in UK financial services, he is well-placed to lead the development and growth of HALO Invest in the United Kingdom.
He has served in a variety of senior executive roles, most recently as managing director at SS&C Hubwise, with prior stints at FNZ and Interactive Investor.
He is an accomplished financial executive with a proven track record of growing successful finance sector platform businesses in the UK.
“I am delighted to be leading HALO Invest as it establishes itself in the United Kingdom. HALO is a forward-looking business committed to providing a first-class investment experience for all clients by using the best possible technology,” Mr Boyce said.
“I am looking forward to getting out there to demonstrate our proven products and explain our unique value proposition.”