Centrepoint Alliance Grows Its Adviser Network as Early Backers Exit
A strong re-rating drew profit-taking from Hurdle Rate and Oracle Advisory Group even as the licensee's adviser count kept climbing
31 Mar 2026 · 3 min read
In short
Centrepoint Alliance grew revenue 13% and profit before tax 30% in FY25, lifting ROE to 22%, Hurdle Rate says.
Hurdle Rate exited its position at a 44% IRR, arguing the stock's 19x earnings multiple no longer justified the dividend yield.
Centrepoint's adviser network has grown to 588 advisers, making it the number two licensee nationally.
A steady run of upgraded earnings guidance and adviser recruitment carried Centrepoint Alliance through late 2025, but two fund managers who backed the financial advice licensee have since exited, arguing the thesis has largely played out.
A strong re-rating, then a clean exit
Hurdle Rate's August 2025 commentary captured Centrepoint at its strongest: 13 per cent revenue growth and 30 per cent profit before tax growth, a 22 per cent return on equity up from 17 per cent the year before, and free cash flow up 66 per cent on the prior year. Organic adviser recruitment was outpacing the rest of the market. But Hurdle Rate also drew a line under the position there, arguing that at a 19 times earnings multiple with modest organic growth, the stock's dividend yield no longer justified holding it over other opportunities.
The company reported 13% and 30% revenue and profit before tax growth at a 22% ROE (up from 17% last year). Cash flow was a stand out with free cash flow growing 66% on the prior year. At an earnings multiple of 19 and modest single digit organic growth the dividend yield no longer justifies itself over other opportunities. We exited the position with a 44% IRR since our initial investment 18 months ago.
— Hurdle Rate, Monthly Report, August 2025
The adviser network kept growing after the exit
Tamim Funds Management's December 2025 update showed the business hadn't stood still. Centrepoint's adviser network had expanded to 588 advisers, lifting it to the number two licensee position nationally, while the IconiQ platform continued scaling with a $1 billion transition pipeline. First half FY26 EBITDA was forecast at $6 million, up 13 per cent on the prior corresponding half, with full-year guidance pointing to the top end of an $11.5 million to $12 million range.
By March 2026, Oracle Advisory Group had also moved on. Oracle's original thesis had rested partly on Centrepoint becoming active in acquiring direct financial advice businesses, a strategy it said hadn't progressed meaningfully since the company's first acquisition two years earlier, prompting the fund to exit.
Questions
Why did Hurdle Rate exit its position in Centrepoint Alliance?
Hurdle Rate said that after strong FY25 results lifted the stock's earnings multiple to 19 times, with only modest single-digit organic growth ahead, the dividend yield no longer justified holding the position over other opportunities. It exited with a 44% IRR since its initial investment 18 months earlier.
How large is Centrepoint Alliance's adviser network?
Tamim Funds Management reported in December 2025 that Centrepoint Alliance's adviser network had grown to 588 advisers, making it the second largest licensee in the country.
Why did Oracle Advisory Group exit Centrepoint Alliance?
Oracle Advisory Group said its original thesis depended on Centrepoint Alliance becoming active in acquiring direct financial advice businesses, which hadn't played out since its first acquisition two years earlier, leading the fund to exit in March 2026.
3 managers, 7 comments, with each manager's latest recorded position.
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