Edinburgh headquartered investment company Aberdeen has agreed the sale of its financial planning business, Aberdeen Financial Planning, to Glasgow-based financial advice and planning firm Ascot Lloyd.

Aberdeen Financial Planning, formerly 1825, was set up as part of Standard Life plc in 2015 and subsequently built up through a series of acquisitions. The business was renamed in 2021 and moved to sit within the group’s interactive investor arm in January 2024.

The deal forms part of Aberdeen’s plans for growth, which revolve around simplifying its business to focus on key offerings across its interactive investor, adviser and investments businesses.

“Aberdeen Financial Planning has a great team who deliver an excellent service to our financial advice customers,” said Aberdeen’s interactive investor CEO, Richard Wilson.

“While we ultimately concluded that the face-to-face holistic financial advice model is not the best fit with the ii digital platform, we are confident it is well placed to thrive under Ascot Lloyd’s ownership, with a positive cultural fit and a track record of client service through a national organisation of 150 advisers.”

Aberdeen said that it will continue to partner with Ascot Lloyd through the provision of its Wrap platform from the adviser division, as well as on potential investment solutions; however, a small private client services capability that has been part of Aberdeen Financial Planning is not being included in the wider sale.

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“The acquisition of Aberdeen Financial Planning marks a major milestone on the Ascot Lloyd journey,” said Ascot Lloyd CEO, Francis Jackson.

“The leadership team and advisers we encountered are highly experienced, skilled professionals who will integrate well into the culture at Ascot Lloyd. 

“At the heart of the business, we found a team who are committed and focused on the delivery of excellent financial planning and advice and believe the business to be a great fit for Ascot Lloyd, supporting our ambitious growth plans in the market.”

Rumours regarding a potential sale of the business broke earlier this year, however it was only with the publication of Aberdeen’s latest half-year results that the group quietly confirmed it was actively looking for a buyer.

According to those results, Aberdeen’s financial planning business was valued at £26 million, but £3.7 billion of assets under advice, with the FT reporting that the firm had written down the business’s value to reflect the expected price it could get in the market.