Schroders’ has reported a profit before tax and exceptional items of £142.9m for the three months ended 30 September 2014, an increase of 18% from £121.6m a year ago.
Overall, the group’s assets under management (AuM) rose to £276.2bn from £256.7bn during the same quarter of last year.
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Wealth Management
Schroders’ wealth business has reported net revenue of £61.7m for the third quarter of 2014, a surge of 31% compared with £47m a year earlier.
For the third quarter of 2014, the division’s profit before tax and exceptional items was £22.9m, a rise of 120% from £10.4m reported during the same quarter of previous year.
Net inflows in wealth for the three months to 30 September 2014 were £0.1bn, taking net inflows year to date to £0.4bn.
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By GlobalDataThe assets under management of the wealth business stood at £30.5bn, an increase of 2% from £29.9bn as of 30 September 2013.
Asset Management
Net revenue at Schroders’ asset management division increased 4% to £329.5m in the third quarter from £315m a year ago. Performance fees were down to £3.4m from £17.5m a year ago.
The group’s asset management arm made profit before tax and exceptional items of £119.7m, a 9% increase from the £109.6m at the same point in 2013.
For the quarter, assets under management at the unit also saw an increase from £226.8bn to £245.7bn.
The group said that net inflows in the quarter were £2.1bn, comprising £1.3bn in Intermediary and £0.8bn in Institutional, taking net inflows for the nine months to £6.6bn.
Michael Dobson, CEO of Schroders, said: "These are strong results with profit before tax up 16% to £404.4m, despite an adverse impact on profit of £27m due to the strength of sterling. We have won net new business of £7.0bn in the first nine months of the year and have continued to generate net inflows across all channels in October, despite market volatility.
"Inflows in Intermediary have been strong in Continental Europe and Asia-Pacific, particularly in income products across a number of different asset classes. In Institutional, we have a significant pipeline of business won but which has not yet been funded," he added.
