Quarterly Announcement of Funds under Management

RNS Number : 1282C

Brooks Macdonald Group PLC

15 October 2020

 

15 October 2020

BROOKS MACDONALD GROUP PLC

Quarterly Announcement of Funds under Management

"Continued strong investment performance leading to FUM of £13.7bn"

Brooks   Macdonald   Group   plc   ("Brooks Macdonald" or the   "Group")   today   publishes an update on Funds under Management ("FUM") for the quarter ended 30 September 2020.

Total Group FUM at the end of September was £13.7 billion, in line with 30 June 2020.  This reflected strong investment performance of £0.2 billion in the quarter, offset by net outflows.

Highlights for the quarter included:

· Investment performance continued to be strong relative to benchmark, up 1.7% for the period, ahead of the MSCI PIMFA Private Investor Balanced Index which was down 0.4%.

· In UKIM, robust investment performance partially offset net outflows with the Bespoke Portfolio Service ("BPS") finishing marginally up on the quarter at £8.3 billion, although the Managed Portfolio Service ("MPS") was down 1.9% to £1.8 billion, and Funds reduced 3.4% to £2.0 billion.  The largest contributor to the reduction in MPS FUM was the exit of a single £90 million mandate as it moved from discretionary to advisory.

· International recorded positive net flows which, combined with good investment performance, resulted in the business ending the period with FUM in excess of £1.6 billion, an increase of 3.9% over the prior quarter.  This reflects the continued reinvigoration of the business and the Channel Islands' emergence from lockdown, with a further c.£1bn of FUM to come from the acquisition of Lloyds' Channel Islands wealth management and funds business, expected to complete in Q2.

Caroline Connellan, CEO of Brooks Macdonald commented:

"The first quarter of our financial year has been in line with expectations.  I am pleased with the strong investment performance we delivered, continuing to protect our clients' wealth, as well as positive flows in International as we continue to reinvigorate the business.  Our vision for Brooks Macdonald is as the leading investment manager for intermediaries, and we look forward with confidence."

Analysis of fund flows by service over the quarter

Quarter to 30 September 2020
£m	Opening FUM	Net flows	Investment performance	Closing FUM	Organic net new business	Total mvmt
BPS	8,247	(119)	128	8,256	(1.4)%	0.1%
MPS	1,809	(81)	46	1,774	(4.5)%	(1.9)%
UKIM discretionary	10,056	(200)	174	10,030	(2.0)%	(0.3)%
Funds	2,051	(100)	31	1,982	(4.9)%	(3.4)%
UKIM total	12,107	(300)	205	12,012	(2.5)%	(0.8)%
International	1,578	39	23	1,640	2.5%	3.9%
Total	13,685	(261)	228	13,652	(1.9)%	(0.2)%
Total investment performance					1.7%
MSCI PIMFA Private Investor Balanced Index1					(0.4)%

¹ Capital-only index.

Enquiries to:

Brooks Macdonald Group plc Caroline Connellan, CEO Ben Thorpe, Group Finance Director	www.brooksmacdonald.com 020 7659 3492
Peel Hunt LLP (Nominated Adviser and Broker) Adrian Trimmings / Rishi Shah / John Welch	020 7418 8900
MHP Communications Reg Hoare / Simon Hockridge / Charlie Barker	020 3128 8540

Notes to editors

Brooks Macdonald Group plc, through its various subsidiaries, provides leading investment management services in the UK and internationally. The Group, which was founded in 1991 and began trading on AIM in 2005, had discretionary Funds under Management of £13.7 billion as at 30 September 2020.

Brooks Macdonald offers a range of investment management services to private high net worth individuals, pension funds, institutions, charities and trusts. The Group also provides financial planning as well as offshore investment management and acts as fund manager to two regulated OEICs (the IFSL Brooks Macdonald Fund and the SVS Cornelian Investment Funds) providing a range of risk-managed multi-asset funds and a specialised absolute return fund.

The Group has twelve offices across the UK and the Channel Islands including London, East Anglia, Hampshire, Leamington Spa, Leeds, Manchester, Taunton, Tunbridge Wells, Scotland, Wales, Jersey and Guernsey.

LEI: 213800WRDF8LB8MIEX37

 

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