27th Jul 2016 07:00
27 July 2016
Brewin Dolphin Holdings PLC
Interim Management Statement
For the quarter ended 30 June 2016
Resilient performance in volatile markets
Brewin Dolphin Holdings PLC (the 'Company' or the 'Group') today issues the following Interim Management Statement for the third quarter of the financial year ending 30 September 2016.
Q3 Highlights1
· | Total funds increased by 2.1% in the quarter to £33.5bn (H1 2016: £32.8bn, FY 2015: £32.0bn).
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· | Total core funds2 increased by 3.1% in the quarter to £30.4bn (H1 2016: £29.5bn, FY 2015: £28.5bn).
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· | Discretionary funds increased by 3.5% in the quarter to £26.8bn (H1 2016: £25.9bn, FY 2015: £24.8bn). |
· | Total net discretionary funds inflow of £0.3bn; representing 4.1% annualised growth.
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· | Total income up 1% in the quarter to £71.3m (Q3 2015: £70.6m).
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· | Core income growth of 5.4% in the quarter to £66.6m (Q3 2015: £63.2m); driven by organic discretionary funds growth and improved commission levels.
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· | Other income declined to £4.7m (Q3 2015: £7.4m). |
1 Q3 2015 results restated to exclude discontinued operations.
2 Core funds comprise discretionary and execution only funds.
David Nicol, Chief Executive said:
"It has been another quarter of steady progress towards our long-term growth goals. Our core discretionary business has continued to deliver organic funds flow and income growth, demonstrating its resilience in the face of uncertain market conditions. In times of market volatility our clients are increasingly looking to Brewin Dolphin to guide them through challenging investment markets. We remain committed to our growth initiatives and have made good progress during the quarter. Our confidence in the future is underpinned by our robust financial position and clear strategic focus."
Funds
Total funds by service category
Change | |||||||
£'bn | 30 June2015 | 30 September2015 | 31 March2016 | 30 June2016 | Last12 months | Last9 months | Last3 months |
Discretionary | 25.6 | 24.8 | 25.9 | 26.8 | 4.7% | 8.1% | 3.5% |
Execution only | 3.7 | 3.7 | 3.6 | 3.6 | -2.7% | -2.7% | 0.0% |
Core funds | 29.3 | 28.5 | 29.5 | 30.4 | 3.8% | 6.7% | 3.1% |
Advisory | 4.2 | 3.5 | 3.3 | 3.1 | -26.2% | -11.4% | -6.1% |
Total funds | 33.5 | 32.0 | 32.8 | 33.5 | 0.0% | 4.7% | 2.1% |
Indices | |||||||
FTSE WMA Private Investor Series Balanced Portfolio | 3,557 | 3,421 | 3,556 | 3,721 | 4.6% | 8.8% | 4.6% |
FTSE 100 | 6,521 | 6,062 | 6,175 | 6,504 | -0.3% | 7.3% | 5.3% |
Funds flow by service category - detailed movement in the quarter
£'bn | 31 March2016 | Inflows | Outflows | Internal transfers | Net flows | Growth rate* | Investment performance | 30 June2016 |
Discretionary | 25.9 | 0.6 | (0.4) | 0.1 | 0.3 | 4.1% | 0.6 | 26.8 |
Execution only | 3.6 | 0.1 | (0.2) | 0.1 | - | 0.0% | - | 3.6 |
Core funds | 29.5 | 0.7 | (0.6) | 0.2 | 0.3 | 3.6% | 0.6 | 30.4 |
Advisory | 3.3 | - | - | (0.2) | (0.2) | -24.2% | - | 3.1 |
Total funds | 32.8 | 0.7 | (0.6) | - | 0.1 | 0.8% | 0.6 | 33.5 |
* annualised
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Note: The above funds figures are rounded to one decimal place. Annualised growth rates are based on unrounded figures.
Funds flow by service category - detailed movement year to date
£'bn | 30 September2015 | Inflows | Outflows | Internal transfers | Net flows | Growth rate* | Investment performance | 30 June2016 |
Discretionary | 24.8 | 1.7 | (1.2) | 0.1 | 0.6 | 3.2% | 1.4 | 26.8 |
Execution only | 3.7 | 0.3 | (0.5) | 0.4 | 0.2 | 7.2% | (0.3) | 3.6 |
Core funds | 28.5 | 2.0 | (1.7) | 0.5 | 0.8 | 3.7% | 1.1 | 30.4 |
Advisory | 3.5 | - | (0.1) | (0.5) | (0.6) | -22.9% | 0.2 | 3.1 |
Total funds | 32.0 | 2.0 | (1.8) | - | 0.2 | 0.8% | 1.3 | 33.5 |
* annualised |
Income
£'m | Third quarter ended | Nine months to | ||||||
30 June 2016 | 30 June 2015 | Change
| 30 June 2016 | 30 June 2015 | Change
| |||
Discretionary investment management | 59.6 | 56.1 | 6.2% | 172.3 | 168.8 | 2.1% | ||
Financial planning | 4.5 | 4.4 | 2.3% | 12.6 | 11.7 | 7.7% | ||
Execution only | 2.5 | 2.7 | -7.4% | 7.8 | 7.7 | 1.3% | ||
Core income | 66.6 | 63.2 | 5.4% | 192.7 | 188.2 | 2.4% | ||
Advisory investment management | 4.1 | 5.7 | -28.1% | 12.2 | 19.5 | -37.4% | ||
Trail income | 0.1 | 1.0 | -90.0% | 1.9 | 3.5 | -45.7% | ||
Interest | 0.5 | 0.7 | -28.6% | 1.7 | 2.8 | -39.3% | ||
Other income | 4.7 | 7.4 | -36.5% | 15.8 | 25.8 | -38.8% | ||
Total income | 71.3 | 70.6 | 1.0% | 208.5 | 214.0 | -2.6% | ||
Fees and Commissions
£'m | Third quarter ended | Nine months to | ||||||
30 June 2016 | 30 June 2015 | Change
| 30 June 2016 | 30 June 2015 | Change
| |||
Core Fees | 44.6 | 43.1 | 3.5% | 131.6 | 128.8 | 2.2% | ||
Core Commissions | 17.5 | 15.7 | 11.5% | 48.5 | 47.7 | 1.7% | ||
Advisory Fees | 2.8 | 4.0 | -30.0% | 8.4 | 13.5 | -37.8% | ||
Advisory Commissions | 1.3 | 1.7 | -23.5% | 3.8 | 6.0 | -36.7% | ||
Total Fees | 47.4 | 47.1 | 0.6% | 140.0 | 142.3 | -1.6% | ||
Total Commissions | 18.8 | 17.4 | 8.0% | 52.3 | 53.7 | -2.6% | ||
For further information:
Brewin Dolphin Holdings PLC |
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David Nicol, Chief Executive | Tel: +44 (0)20 7248 4400 |
Andrew Westenberger, Finance Director | Tel: +44 (0)20 7248 4400 |
FTI Consulting |
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Edward Berry | Tel: +44 (0)20 3727 1046 |
Notes to Editors:
About Brewin Dolphin
Brewin Dolphin is one of the UK's leading independent providers of discretionary wealth management. We offer award-winning personalised wealth management services that meet the varied needs of over 100,000 account holders, including individuals, charities, and pension funds.
Our focus on discretionary investment management has led to growth in client funds and we now manage £26.8 billion on a discretionary basis. In line with the premium we place on personal relationships, we have built a network of 28 offices across the UK, Channel Islands and the Republic of Ireland, staffed by qualified investment managers and financial planners. We are committed to the most exacting standards of client service, with long-term thinking and absolute focus on our clients' needs at the core.
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