Platform Transact has reported total Funds Under Direction for Q4 rose by nearly £5bn year on year to hit a record £54.9bn, according to figures released today by parent company Integrafin Holdings plc (IHP).

Despite the rise in funds, Transact saw net inflows fall during the quarter from £702m to £411m although total inflows were up from £1.505bn to £1.595bn.

Outflows for the quarter rose to £1,184m compared to £785m for the same quarter in 2022.

The company said rising fund, adviser and client numbers highlighted the “resilience” of the group’s platform business model and “strong intermediary relationships.”

The company predicted total group revenue for Full Year 2023 would be about £134.9m (FY22: £133.6m), driven by higher average daily FUD in the period.

During the quarter IHP saw a record number of Transact platform clients at over 230,000 at the end of FY23 (FY22: 225,000), a 2% increase.

There was also growth in the number of advisers using the Transact platform. At the end of the firm’s FY23 there were 7,683 advisers registered on the Transact platform, up 2% on the 7,537 recorded a year earlier.

The average (daily) Funds Under Direction on the Transact platform during FY23 was £53.6bn compared to an average during the prior financial year of £52.5bn.

At the company’s Time4Advice arm there was growth in the total number of chargeable users of its CURO software, with 2,800 users at the end of FY23, an increase of 22% during the financial year.

Alex Scott, IHP group chief executive, said: “Gross inflows of over £6.4bn and net inflows of over £2.6bn for the year represent a solid performance in the face of economic uncertainty and ongoing investor caution. While outflows from the Transact platform, similar to our peers, have increased in the quarter as our clients continue to be impacted by cost-of-living pressures and heightened interest rates, I am pleased with the ongoing growth in our platform adviser and client numbers, with the latter now at a record high of over 230,000.

“Notwithstanding the ongoing macro-economic uncertainty, we remain confident in our market position, the strength of our proposition to advisers and clients and our ability to grow client numbers and deliver robust net flows. Our platform digitalisation programme is well underway and we have successfully implemented our Consumer Duty programme of work.

"We remain well positioned to take advantage of a growing adviser platform market and deliver attractive growth and returns to our shareholders. We look forward to providing our year end results on 14 December 2023.”