Schroders profits fall but AUM rises
Fund manager Schroders has seen a dip in pre-tax profits and inflows in the first three months of 2012, while also completing a strategic investment in Indian outfit Axis AMC.
Fund manager Schroders has seen a dip in pre-tax profits and inflows in the first three months of 2012, while also completing a strategic investment in Indian outfit Axis AMC.
Group profit before tax was £95.5m compared to the £103.8m in the first quarter of 2011. Net inflows were £1.6bn compared to the £3.1bn seen in the same period of last year. Assets under management (AUM) at the end of March were £199.6bn, up on the £187.3bn seen at the end of 2011.
Schroders also says it has bought 25% of Axis AMC, the asset management subsidiary of Axis Bank, the third largest private sector bank in India. Axis AMC has assets under management of $2.3bn.
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
Schroders says in conjunction with Axis Bank it wants to build a significant asset management player in the Indian market. It will also be able to distribute Axis AMC's funds internationally.
The main Asset Management division's net revenue for the quarter was £250.8m against a comparator of £261.2m during the same period of last year. Performance fees in the first quarter were £6.0m versus the £7.8m seen in the first three months of 2011.
BS
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
-
A junior ISA could turn your child’s pocket money into thousands of pounds
Persuading your child to put their pocket money in a junior ISA might be difficult, but the pennies could quickly grow into pounds – and teach them a valuable lesson about money
By Katie Williams Published
-
Cost of Christmas dinner jumps 6.5% as grocery price inflation rises again
The average Christmas dinner for four now costs £32.57 as grocery price inflation increases - but what does it mean for interest rates?
By Chris Newlands Published