'Solid' but mixed start for Close Brothers
Close Brothers, the FTSE 250 specialist financial services firm, said it has made a solid start to its financial year though it did highlight a 'challenging' environment in its Securities division.
Close Brothers, the FTSE 250 specialist financial services firm, said it has made a solid start to its financial year though it did highlight a 'challenging' environment in its Securities division.
The performance of Securities has "remained slow", the group said in its first-quarter trading update covering the period between August 1st and the end of October.
Its market-making division, Winterflood, continues to be affected by a low-volume trading environment, with average bargains per day down on last year. Meanwhile, its Germany operation, Seydler, has also been hit by low volumes though capital market activity is said to have increased.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Elsewhere, Close Brothers' Banking division performed strongly during the first quarter with the loan book rising by 4% to £4.3bn, mainly as a result of growth from motor finance, asset finance and property. However, net interest margin decreased as expected due to changes in the product mix.
In Asset Management, the company said that it has made good progress as it "moves towards profitability", with assets under management up 2% to £8.5bn.
"Overall the group remains well positioned for the remainder of the financial year," Close Brothers said.
"The Banking division continues to see prospects for growth and Asset Management remains on track to move into profitability during the course of this financial year.Winterflood continues to be affected by difficult trading conditions but remains well placed for when market conditions improve."
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
-
‘Inheritance tax insurance’ enquiries are soaring – but is it worth it?
Premiums for whole of life insurance can run to £5,000 a month to cover a £300,000 inheritance tax bill, with policies costing more the older you take them out.
-
MPs warn over Lifetime ISAs which could leave savers out of pocket
The Treasury Committee has highlighted confusion around the Lifetime ISA withdrawal charge, which risks consumers losing “a significant part of their savings”