Interim Management Statement

IFG Group plc - Interim Management Statement for the period 1 January through 30 April 2014

19 May 2014

Highlights:

· James Hay Partnership records 2,050 new SIPPs to April (April 2013: 1,743 )

· Total SIPPs under administration of 40,751 at end April 2014 (April 2013: 38,064)

· Strong business momentum in Saunderson House with client wins of 107 (FY 2013: 154 )

· IFG Ireland Corporate Pensions gained 17 new clients and continues to grow funds under advice and administration

· Sale of IFG Financial Services in March 2014 for up to £9.1m

· New CEO, Paul McNamara appointed, starting 28 July 2014

IFG Group plc, the financial services group which provides independent advice and full platform services for retirement wealth planning in the UK and Ireland, issues the following update covering its business to April 2014 unless otherwise stated. 

Group Performance

Trading year to date is in line with expectation and our businesses have had a good start to the year.

New business momentum has been sustained in our core businesses with James Hay Partnership, Saunderson House and IFG Ireland continuing to win new clients and assets.

The announced sale of IFG Financial Services in March 2014 demonstrates the Group's strategic focus. Our investment in technology, operational capability and people continues. We have made a number of senior appointments over the past 12 months and look forward to Paul McNamara joining as Group Chief Executive on 28 July 2014.

Trading Update

Pensions Administration

James Hay Partnership administers over 48,000 self-directed pension schemes in SIPPs and SSAS' (small self-administered schemes) in addition to ISAs and GIAs. It has over £15.6 billion assets under administration.

James Hay Partnership continues to deliver on its strategy and is maintaining growth. It has evolved from being solely a SIPP provider to a full platform for retirement wealth planning. The underlying fundamentals in our markets are positive and the platform market is expected to grow significantly in the next three years.

With continued focus on sales origination and backed by high services levels, new business momentum remains positive. SIPP sales to April 2014 were 2,050 which compares to 1,743 in the previous year.

In addition to the growth in sales volumes, assets under administration (AUA) continue to increase. Gross inflows of £386m were received in Q1, bringing AUA to over £15.6 billion. This puts James Hay Partnership as the fifth largest platform provider in the UK, according to Platforum's most recent publication.

While our growth strategy is primarily organically focussed, we continue to look at opportunities to augment growth with selective bolt-on initiatives and acquisitions.

Independent Financial Advisory

Trading in Saunderson House is maintaining momentum and new client take-on is very positive. For the first four months of the year 107 new clients were added. This compares to 50 in the equivalent period last year and 154 for the full year 2013. This reflects the ongoing investment in our people, particularly in developing client recruitment skills and expanding the number of client-winning resources. Revenue through to April is well ahead of the prior year period.

In addition to further investment in people, marketing and brand development to grow the business, we will implement greater use of technology as the year progresses. This will further enhance our service to clients.

On 12 March, we announced the sale of our non-core traditional IFA business, IFG Financial Services, for a maximum consideration of £9.1 million, comprising £3.5 million initial payment on completion (subject to adjustment for the completion accounts) and contingent deferred consideration up to £5.6 million. Regulatory approval is awaited and we expect to close early in Q3. This business has delivered a solid performance for the first four months of the year.

Ireland

2013 marked a turnaround year for Ireland with improved performances in both revenue and operating results. Revenue year to date is growing and we expect a return to reported profitability for the full year.

In IFG Corporate Pensions, funds under management grew to €979 million at the end of April (December 2013: €955 million) and year to date 17 new client wins have been achieved.

Our general broking businesses, particularly General Insurance, have had a positive start to the year.

Ends.

For further information, please contact IFG Group:

· John Cotter, Interim Chief Executive & Finance Director, Tel: +353 1 275 2800

· Niamh Hore, Investor Relations & Corporate Development, Tel: +353 1 275 2866

IFG Group plc

Booterstown Hall

Booterstown

Co. Dublin

www.ifggroup.com