13th Jan 2015 08:00
LONDON (Alliance News) - Rathbone Brothers PLC Tuesday reported a rise in funds under management over the course of the fourth quarter, bolstered by its main investment management business and helped by the performance of its unit trusts.
The investment manager also said it expects results for 2014 to be in line with expectations.
In a statement, the FTSE 250 constituent, which manages the investments and wealth of private clients, charities and trustees, said total funds under management increased to GBP27.2 billion at the end of 2014, up from GBP26.3 billion at the end of September, and GBP22.0 billion at the end of 2013.
Its main subsidiary, Rathbone Investment Management, had net inflows of GBP327 million in the fourth quarter, lower than the GBP353 million in the corresponding quarter of 2013. Funds under management at Rathbone Investment Management rose to GBP24.7 billion at the end of 2014, up from GBP23.9 billion at the end of September that year, and from GBP20.2 billion at the end of 2013.
However, the company reported a lower underlying rate of net organic growth in funds under management in Rathbone Investment Management for its last financial year, with figures showing a slowdown to 4.0% from 5.4%. Net organic growth in the fourth quarter was hurt by the loss of two large lower-margin accounts, Rathone Brothers said.
Funds managed by Rathbone Unit Trust Management, which provides actively managed specialist and multi asset unit trusts, rose to GBP2.5 billion from GBP2.3 billion at the end of September, and from GBP1.8 billion at the end of 2013. Fourth-quarter net fund inflows fell to GBP115 million from GBP170 million in the corresponding quarter last year.
"Although we expect investment markets to continue to be volatile in 2015, our outlook remains positive. We continue to pursue our growth objectives, whilst responding to ongoing changes in the industry, and investing to ensure that we continue to have the right level of infrastructure and resources," Rathbone Brothers said in a statement.
By Samuel Agini; [email protected]; @samuelagini
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