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Hunting for bargain shares? They're right in front of you

Markets are too short-term when marking down the likes of Hargreaves Lansdown and AJ Bell
November 2, 2023
  • There are strong long-term drivers of growth for platforms
  • Oversold this year even as inflows have fallen

Talk about missing the wood for the trees. Investment platform shares are trading at significant discounts, presenting a notable opportunity to buy into the sector, as more investors manage their own savings and pension pots. 

At the same time, macroeconomic headwinds have caused the share prices of leading platforms to plummet this year. Hargreaves Lansdown (HL.) and AJ Bell's (AJB) valuations are both around 55 per cent cheaper than their average five-year positions, according to FactSet. This has raised the likelihood of buyouts in the sector, according to Liberum analysts James Allen and Nick Anderson. 

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