Financial Planning-led wealth management firm AFH Financial has reported that its client inflows continue to be impacted by the Coronavirus pandemic.

However, ongoing management fees have remained at anticipated levels.

The Midlands-based firm, which has acquired dozens of IFAs over the past few years, said that business continued in line with management expectations in its pre-close update on trading for the year.

The firm’s financial year ended on 31 October and it will publish its financial results in January.

In September, the firm reported a drop in business following the Coronavirus lockdown due to the “challenges of remotely interacting with prospective clients.” 

Today the wealth manager said that inflows of client funds continued to remain below pre Covid-19 pandemic levels but there has been a gradual increase in inflows since May.

Outflows for the second half of the year remained at a similar level to previous periods.

Despite previously focusing on acquisitions, the company said that marketing-led organic growth has been the focus of the firm since the start of the pandemic.

It also said that it has recruited a “significant” number of advisers during the last quarter, which combined with anticipated leads from digital marketing activities, provides the basis for further organic growth in 2021.

Cash management has been a major focus for the firm this year. The firm’s cash balance at the end of the company year was £13m.