West Brom sells IFA arm to AFH Group

By Michelle McGagh 17:45:09 23 October 2009

Bromsgrove-based AFH Wealth Management has acquired the IFA arm of West Bromwich Building Society.

The mutual’s Insync Financial Planning division will transfer across to AFH and be renamed AFH Insync.

Clients who transfer will continue to be offered independent advice and will be able to take advantage of AFH Group’s discretionary management and stockbroking services.

Alan Hudson, managing director of AFH Group, said: ‘We have built a culture that focuses on working in partnership with clients and building long-term relationships based on mutual trust and respect and felt we had a synergy with the society.

‘Having gone through the rigourous due diligence process, we are delighted to have beaten off the competition and agreed terms for both the acquisition of Insync and referrals from the society going forward.’

West Bromwich Building Society has had a turbulent 18 months. In July last year it revealed a £40 million loss and subsequently struck a deal with the Treasury to strengthen its core tier one capital to avoid a forced sale.

Around the same time it closed its final salary pension scheme, a week after former boss Stephen Karle walked away from the mutual with a £520,000 payout.