Edinburgh-based boutique bank Hampden & Co has completed the transfer of a £30 million loan book from Smith & Williamson.
Hampden said it would offer a growing range of banking services to the new client base and had experienced a surge of interest from wealth managers across the UK since announcing it would be taking on the business in October.
The move follows Smith & Williamson’s decision to give up its banking licence in advance of its merger with fellow wealth manager Tilney. The loans transferred to Hampden & Co are secured against Smith & Williamson client investment portfolios.
Hampden & Co CEO Graeme Hartop said: “What really resonated with Smith & Williamson was our exclusive focus on high quality, service-led private banking and what we’ve found since announcing the deal is that there has been a significant step-up in interest from other wealth managers across the UK.
“It’s great to see that our collaborative way of working with a range of wealth managers is proving to be a real differentiator for Hampden & Co in the marketplace.”
In its half-year results in August, Hampden & Co reported deposits up 39% and lending increased by 44%. It says it has grown by expanding into the mortgage intermediary market targeting high net worth clients.