Parmenion, the platform acquired for £102m last week, is to invest in its own proprietary technology rather than follow other platforms in using third party ‘platform engine’ providers such as FNZ.

The Bristol-based firm outlined its ‘go it alone’ post-acquisition strategy following the takeover by Preservation Capital Partners (PCP), a London-based private equity firm.

Parmenion said it will take a different approach to other platforms and will rely “heavily” on its own proprietary technology.

Parmenion says it believes the ownership of its own technology has allowed the company to remain “agile and responsive” to customer needs giving it a competitive edge in an “increasingly saturated sector.” 

In 2020 the platform invested in a number of digital-first services including launched Vantage, a reporting tool that provides advisers client and business management information.

After much speculation Preservation Capital Partners was revealed as the new owner of Parmenion last week, subject to regulatory approval. It was sold by Standard Life Aberdeen for £102m.

Parmenion says its investment and development of digital services was a “a key component” in attracting PCP to buying the company. 

Martin Jennings, CEO of Parmenion, said: “As a business we have a clear vision for our future, which has been a driving force behind our ambitious development.

“Knowing who our customer is and what our core proposition makes possible for our clients has set us apart in the market meaning we keep the customer at the fore in everything we do.” 

Customers and staff have been advised that there will be no changes to the operating model of Parmenion, the company says, and PCP plans to support the expansion of Parmenion in the UK “long term savings market.” 

Andrea Secci, Principal at Preservation Capital Partners, said: "We are very excited to be supporting Parmenion and its management team, led by Martin Jennings, in its next stage of growth.

“The IFA platform sector is one of the most attractive sub-sectors within the UK wealth management market and Parmenion is a prime example of the type of market leading businesses we like to support due to its exceptional track record of growth and award-winning service proposition. 

"We are fully committed to supporting the management team to continue to deliver the market-leading proposition and award-winning customer service to its clients, as well as supporting them with access to significant additional capital for further investment in the platform and accretive acquisitions.” 

Parmenion manages £8bn of assets on behalf of over 2,500 advisers and 68,000 underlying clients. 

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