FUM at St jame's Place hit record level

Wealth management group St James's Place has seen funds under management (FUM) grow to record levels despite shaky investor confidence.

In the first quarter of 2012 the company saw a net inflow of £700m into its funds and a 95% retention rate of existing clients.

Its funds under management figure is now a company record of £31bn, an increase of £2.5bn over the three months, reflecting both inflows and investment performance.

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New business remained resilient, the company claimed, with total new business on an annual premium equivalent (APE) basis clocking in at £152.6m in the first quarter, versus £156.7m in the first three months of 2011.

Total new single investments in the quarter were lower at £1,256m compared to £1,288m a year earlier, but the pension single investment number rose to £522m from £410m the year before.

David Bellamy, Chief Executive, commented: "Retail investors are naturally sensitive to continued market uncertainty and consequently remain relatively cautious in their appetite for investment. Nevertheless, we are confident about the strength, resilience and predictability of new business flows."

St James's Place shares were up 0.39% at 09:46.

BS