Abrdn, the FTSE-listed asset manager, has struck a deal to acquire Interactive Investor — one of the UK's largest retail investment platforms — in a £1.5bn deal that will put the Edinburgh fund house in direct competition with Hargreaves Lansdown and AJ Bell.

Abrdn confirmed last month that exclusive deal talks were taking place with Interactive Investor, which has more than 400,000 retail clients and oversees some £55bn.