FinnCap have been making waves over the last three years since their spinoff from old school private client manager J.M. Finn. Led by the progressively minded CEO Sam Smith, the broker can now justifiably claim to be the second largest AIM broker with an 80 strong client roster that is growing quickly. But some revenue streams are getting harder to come by. Many firms have been reporting results that are suffering from a dwindling of traditional commission based broking revenues and FinnCap is no exception. But not being firm to stand still, they are finding ways to add extra value to their corporate clients which is hoped will generate further loyalty and brand awareness.
Last night FinnCap hosted their first retail roadshow in partnership with David Stredder, the active private investor and director of ShareSoc, who runs the Mello investor group meetings usually held in Beckenham. The retail roadshow market is a fragmented one with providers having mixed reputations, but the Mello events have been run very effectively for several years for the benefit of investors, free from any commercial interest. This initiative by FinnCap can be taken as a positive sign that the predominantly institutional market of London may be beginning to appreciate that individual investors en masse are a significant untapped source of market liquidity.
FinnCap gave over their presentation room in New Broad Street to allow four companies to present to the group of 40 or so investors. Presenting were two of FinnCap's clients Amino Technologies and Idox, joined by RheoChem and the Innovation Group; a spread of businesses ranging across technology, business services and oil; sectors that have been and are currently very popular with private investors.
Credit must go to FinnCap for being forward thinking in their attitude and to David Stredder for organising the investor group. Other brokers will be taking note that through social media and publicly facing websites such as Stockopedia and the Motley Fool, large groups of private investors can be mobilised extremely quickly and that the costs of running retail roadshows are minimal. If FinnCap continue to be progressive and proactive in their approach their client roster will soon reach beyond that of current AIM leader Seymour Pierce from whom they appear to be winning clients.
A brief summary of each presentation continues. Other attendees may wish to elaborate on each in…
