Pan-European BankingExpansion

Schroders PLC
13 November 2000


Schroder & Co plans pan-European private banking expansion 

Schroder & Co, which formally opened its doors to new business today from high
net worth individuals looking for integrated wealth management solutions, is
to act as the centre of a planned pan-European expansion in the private
banking market by Schroders plc.  Following the sale of its investment banking
business to Citigroup earlier this year, Schroders intends to grow its market
share in private banking and Schroder & Co will seek to capitalise on the
Schroder Group's status as a world leader in asset management. 

A wholly-owned subsidiary of Schroders plc, Schroder & Co will be capitalised
at £80m with £4bn of assets under management and 3,300 customer deposit
accounts representing balances of £465m. Schroders' private banking operations
as a whole, including its Swiss and Channel Islands banks, are capitalised at
£160m and manage a total of £7bn for private clients around the world. 

A service-led rather than product-led organisation, Schroder & Co will target
private clients who have complex financial needs, generally by virtue of the
size of their financial assets, and who require expert, long term wealth
management services and solutions. While Schroder & Co is not stipulating a
minimum asset level, it is not targeting the 'mass-market affluent'.  Clients
seeking a full private banking service, including long term asset management
advice and execution, are likely to have financial assets of over £250,000
(US$365,000).

Schroders will be using the Schroder & Co name as its global private banking
brand and Schroders' private client operations in Switzerland, the Channel
Islands and North America will change their names to Schroder & Co in the New
Year.  

In Europe, in addition to substantial operations in Switzerland and the
Channel Islands, Schroders will be increasing its private banking presence in
Germany and Italy, and building teams in Spain and France.  Regulatory
approval is also being sought in Austria for a joint venture with Vienna
Capital Partners to provide asset management and other related advisory
services to high net worth individuals in Austria and Eastern Europe.

Asset management for Schroder & Co's clients, including alternative
investments such as hedge funds and structured products, will be sourced from
Schroder Investment Management as well as from third parties.  Complementary
banking services will include normal bank accounts with specialist current and
savings accounts, flexible lending and cash management services. 

Commenting on the launch, Schroder & Co's chairman Andrew Sykes said: 'The
private banking market is growing rapidly, particularly in Continental Europe
where Schroders already has a strong franchise. We are well placed to benefit
from the growing demand for bespoke private banking operations and the
increasing emphasis on a sophisticated, global approach to personal asset
management.

'The launch of Schroder & Co and the development of the Group's capabilities
in Europe as a whole signals our commitment to increase our market share on a
global basis in growth areas such as private banking and retail fund
management.' 

Schroder & Co's website was launched today at www.schroderandco.com.

Schroder & Co will offer:
* banking including current and deposit accounts, lending and credit
facilities, and cash management services;
* portfolio management on a discretionary or advisory basis, either on or
offshore;
* services relating to alternative investments, including venture capital,
hedge funds and structured investments (derivative products) services; and
* trustee services to individual and corporate trustees, including custody and
administration.

Schroder & Co. Limited 31 Gresham St London EC2V 7QA . Regulated by IMRO.


For further information contact:

Schroders plc
Andrew Sykes, Chairman, Schroder & Co. Limited                              
Tel: [phone]
Julian Samways, Head of Corporate Communications, Schroders plc        
Tel: [phone]

GCI Financial
Emily Morris                                                                 
Tel: [phone]
Emma Pugh                                                                     
Tel: [phone]


Notes to editors:

Andrew F Sykes (43) - chairman, Schroder & Co. Limited
Andrew has been with Schroders since 1978.  He became a director of Schroders
plc in October 1998 and in May 2000 was made head of private banking and
alternative investments.  In his capacity as head of alternative investments,
Andrew has been responsible for the creation of Schroder Hedge Funds, the
Group's hedge fund division, and for SIM Structured Investments. The latter
creates structured risk management solutions for institutional and private
clients.  Andrew is also responsible for the development of the Group's
capabilities in private equity, working closely with the Group's affiliate
Schroder Ventures.     

Schroders plc
Schroders is a leading international asset management group with over £140
billion under management.  Apart from managing investments on behalf of
pension funds, government bodies, charities, corporations, family groups and
high net worth individuals throughout the world, Schroders is a leading
manager of unit trusts and other mutual funds. 

Further information on Schroders is located on the Internet at:
www.schroders.com