RBC has written on UK Wealth Managers today the note is something of a compendium at 57 pages long. However, you can get a flavour of the overall tone from this snippet :

“Our view: An overall relatively benign Budget outcome has removed an overhang for the UK wealth sector which now looks well positioned to deliver strong earnings growth and flows into 2026.

Investment cases are further supported by broadly constructive valuation set-ups with most names at discounts to 5yr averages in PE terms, and scope for capital returns to act as a valuation underpin.”

One of the banks over weight recommendations in the sector is Rathbones RAT LN, of which RBC says:
“Rathbones. Following a period of integration focus we see a compelling opportunity for strategic progression and refresh for RAT under a new CEO. Integration synergy benefits accruing in FY26 will underpin earnings growth, which we view as acting as short-term “cover” for management to review and address recent organic growth challenges.

RAT is trading at a material discount to peers and historical average at 9.9x FY26, which creates an attractive risk/reward in our view.”

RBC has a price target of £21.00 versus the current price of £18.30 and they make this comment to emphasise what they see as upside opportunity:

” It is currently the most inexpensive UK wealth name in P/E terms, trading at 9.9x FY26E P/E, (a 16% discount to the 5 year avg.)”