Sequoia expects its wealth division to hit revenue of $72 million in 2022, compared to $62 million a year earlier, but wealth’s share in total group revenue is predicted to decrease to below 50 per cent.
In a business update posted to the ASX on Thursday (18 November), Sequoia said group revenue hit $116.5 million in 2021, which is in line with its long-term target to reach $400 million by 2025.
Looking at the broader situation in advice today, Sequoia reiterated its expectations for a continued reduction in adviser numbers until 2024, after which a rebound is expected with an internal goal to “provide services in some capacity to 1,000 advisers by that time”.
Earlier this week, the advice group confirmed the acquisition of Tag Insurance Brokers’ (TIB) books, its associated asset and independent premium funding company.
“The opportunity to acquire an established general insurance broking business with strong leadership, established client base and high-quality staff is an important component within our overall general insurance broking growth strategy,” group chief executive Garry Crole said at the time.
“We recognise the general insurance marketplace is very competitive and we are really pleased to secure such a well-regarded mature and culturally-aligned business.”
Sequoia earlier stated its goal is to provide licensee services for up to 8 per cent of the overall advice market by 2025.
Key to this objective will be Sequoia’s future growth initiatives, which include acquiring mid-tier licensee services businesses.
