Close Brothers hit by market conditions
Close Brothers, the FTSE 250 banking, securities and asset management firm, has been affected by difficult market conditions for the Securities division.
Close Brothers, the FTSE 250 banking, securities and asset management firm, has been affected by difficult market conditions for the Securities division.
During the first quarter from 1 August 2011 to 31 October the group continued to see good demand for its lending services and delivered another strong performance.
However, the Securities division has been hit by difficult market conditions, with income per bargain at Winterflood substantially lower, reflecting significant volatility and a change in mix driven by lower risk appetite amongst retail investors.
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
Close Brothers Seydler has also been affected by challenging conditions for its trading businesses and very limited capital markets activity in Germany.
Meanwhile, the loan book increased 5% to £3.6bn at 31 October (31 July 2011: £3.4bn), with particularly good growth in Retail from both premium finance and motor finance.
In a statement the firm said: "Market conditions have affected the Securities division in the first quarter, and remain difficult. However we continue to see a good performance in the Banking division and our businesses remain well positioned."
The share price fell 3.17% to 673p by 13:42.
NR
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.
-
Paying the grandkids’ school fees could generate a shock IHT bill
Private school fees have soared as a result of the government’s VAT policy, meaning more grandparents are helping out – but what are the tax implications?
-
Number of savings deals hits record high – as interest rates slump to two-year low
Savers have more choice than ever when it comes to choosing a savings account or cash ISA. But, the interest rates on offer continue to fall. What’s next for the savings market?