Nutmeg | Best European Digital Wealth Platform using ETFs
James McManus, chief investment officer, Nutmeg answers a Q&A interview on the firm’s win in the European awards.
Why do you think you won this award?
When Nutmeg launched in the UK, adoption of ETFs as an investment vehicle for retail investors was comparatively low. A little over a decade later, and we’re seeing ETFs become more common. Winning this award is testament to the hard work of all Nutmeg staff, everything that has been achieved so far and all that is to be achieved in the months and years to come. It’s always an honour and a privilege to receive the recognition of the industry which we passionately strive to champion.
What is the size and scale of your business at the moment?
The business has continued to benefit from our digital first proposition and the flexibility and hard work of all the Nutmeg team, which makes it possible to deliver the same great level of service, investment and wealth management and feature development that our clients have come to expect. We’re proud to be managing over GBP4.5 billion of assets on behalf of more than 2000,000 UK retail investors. Given our scale and position as the largest digital wealth manager in the UK, we’re well-positioned to continue to see further strong growth this year and beyond.
What trends have you seen over the past year?
After two years where covid lockdowns and restrictions resulted in significant growth in retail investors, market volatility and the rising cost of living has keenly focused many on the importance of sound financial planning. People have thought about what is important to them – whether that’s building a more significant rainy-day fund, helping children to get a financial head start in life, or taking the time to set out plans for retirement. As a nation, we’re much more engaged with our finances today than we have been in the past. We’ve also seen a growth in the willingness of people to learn more and understand their own financial position and opportunities. Digital self-serve tools – such as online calculators and educational material – is continuing to grow in importance and popularity.
Where do you see the ETF industry going in terms of products over the coming year?
We expect to see global ETF assets continue to rise this year; an ongoing trend that shows no sign of slowing. The primary drivers for investors to focus on ETFs – choice, simplicity, diversification, transparency and cost – all remain at the forefront of investors’ minds. The expansion of the ETF product set to include further active, thematic and responsible strategies will be significant drivers of further growth. The longevity of global environmental and social policy initiatives that pose structural societal challenges, such as climate change, will ensure responsible and environmental index approaches will be at the forefront of asset gathering.