Trading Statement

Schroders PLC
18 May 2004


                                Schroders plc

                                Trading Update

18th May 2004

Schroders plc is today issuing a trading update for the three months to 31st
March 2004.

The Group made a positive start to the year, with quarterly profits before
goodwill amortisation and tax of £30.4 million (Q1 2003: £9.0 million).

Asset Management Results

Asset management revenues for the quarter were £115.1 million (Q1 2003: £97.1
million), costs were £91.8 million (Q1 2003: £91.9 million) and profits were
£23.3 million (Q1 2003: £7.7 million including exceptional profits of £2.5
million on the completion of the sales of Schroder Hermes and Schroder
Pensions).

Group Results

Profits from Private Equity of £8.4 million (Q1 2003: £5.2 million) benefited
from carried interests and the rise in value of the Group's shareholding in SVG
Capital plc (formerly Schroder Ventures International Investment Trust plc).
Group net costs amounted to £1.3 million in the quarter (Q1 2003: net costs of
£3.9 million).

Group profit before tax amounted to £27.9 million in the quarter (Q1 2003: £6.4
million).

Funds under Management

From an opening position of £98.9 billion* at 31st December 2003, funds under
management rose 1.5 per cent. in the quarter to £100.4 billion as a result of
rising equity markets partially offset by net business outflows during the
period. Net business outflows amounted to £1.4 billion in the quarter, with net
inflows in the Retail business of £2.0 billion and £0.2 billion in Private
Banking, exceeded by net outflows in the Institutional business of £3.6 billion.


Outlook

Higher margins on new business won in both Retail and Institutional in the
quarter outweigh the revenue effect of the business lost during the period.
Meanwhile, we continue to invest in our fund management and business development
capabilities in order to take advantage of growth opportunities in existing and
new products.

* Restatement of assets from £98.3 billion predominantly due to the inclusion of
additional Private Banking funds previously omitted.

Interim results for 2004 will be announced on 17th August 2004.

For further information, please contact:               Tel: [phone]
Julian Samways
Group Head of Corporate Communications
Schroders plc





Forward-looking statements

This trading update contains certain forward-looking statements with respect to
the financial condition, results, operations and businesses of Schroders plc.
These statements and forecasts involve risk and uncertainty because they relate
to events and depend upon circumstances that will occur in the future. There are
a number of factors that could cause actual results or developments to differ
materially from those expressed or implied by these forward-looking statements
and forecasts. Nothing in this trading update should be construed as a profit
forecast.




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