16th Apr 2019 10:41
LONDON (Alliance News) - Tatton Asset Management PLC said on Tuesday despite a challenging market environment, it expects annual adjusted operating profit and revenue to meet analyst expectations.
The fund management and support services group also expressed confidence in its outlook, having grown profit and revenue its year ended March.
For the year ended March 2018, Tatton reported adjusted operating profit at GBP6.5 million on revenue of GBP15.5 million.
Within the Tatton Investment Management segment, the group reported assets under management of GBP6.1 billion as at March 31, up 25% from GBP4.9 billion for the same date the prior year.
In the Paradigm Mortgage Services business, growth has continued with member firms increasing to 1,393 from 1,219 the year before.
Although Paradigm Consulting achieved an increase in member firms to 390 from 368, there was downward pressure on revenue from consultancy services, as well as reduced flows on the Paradigm wrap platform.
Wrap platforms are internet-based systems which allow financial advisers to manage a range of their clients' assets in one place.
"The sustained growth in AUM and new firms using Tatton is confirmation that the service and proposition continue to resonate with IFAs and their clients by delivering consistent investment returns at a competitive market price," said Chief Executive Paul Hogarth.
"To the extent we are pleased with the Mortgage services performance we are disappointed with the lack of growth of Paradigm Consulting though it remains an important component of the group's strategic makeup," Hogarth added.
Tatton Asset Management will publish its results on June 3. Shares were 10% lower at 208.00 pence on Tuesday.
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