Trading Statement

Schroders PLC
16 November 2004


                                  Schroders plc

                                  Trading Update

16th November 2004

Schroders plc is today issuing a trading update for the three months to 30th
September 2004.

The upward trend in profitability continued in the third quarter of 2004, with
profits before goodwill amortisation and tax of £82.1 million (Q3 2003: £18.0
million) including an exceptional gain in Private Equity of £47.8 million.
Profits before goodwill amortisation and tax for the nine months to end
September 2004 were £147.9 million (nine months 2003: £50.4 million).

Asset Management Results

Asset Management revenues for the quarter were £121.1 million (Q3 2003: £107.7
million), costs were £94.0 million (Q3 2003: £92.3 million) and profits were
£27.1 million (Q3 2003: £15.4 million).

Group Results

Profits from Private Equity were £57.6 million in the quarter (Q3 2003: £3.5
million). Within these figures was an exceptional gain of £47.8 million relating
to the disposal of a private equity investment by Internet Finance Partners, a
controlled limited partnership in which Schroders has a 68 per cent. interest
and which is consolidated for accounting purposes. The exceptional gain of £47.8
million includes £15.4 million of gains attributable to minority interests.
Group net costs amounted to £2.6 million in the quarter (Q3 2003: net costs of
£0.9 million).

Funds under Management

From an opening position of £100.0 billion at 30th June 2004, funds under
management fell 0.2 per cent. in the quarter to £99.8 billion. Net business
outflows amounted to £1.3 billion in the quarter, with net inflows of £1.2
billion in Retail and £0.2 billion in Private Banking, exceeded by net outflows
in Institutional of £2.7 billion. This latter figure includes the loss of £1.6
billion of fixed income assets managed for a single client on a passive basis at
a very low margin.

Outlook

Private equity gains significantly enhanced the profitability of the Group in
the third quarter and are unlikely to be repeated at this level. In our core
business, improving margins as a consequence of the changing business mix
outweighed the revenue effect of the business lost during the period.


Annual results for 2004 will be announced on 1st March 2005.

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





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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