25th Jul 2019 07:00
25 July 2019
Brewin Dolphin Holdings PLC
("Brewin Dolphin" or the "Company" or the "Group")
Quarterly Trading Update
For the third quarter ended 30 June 2019
Brewin Dolphin announces a trading update for the three months ended 30 June 2019.
David Nicol, Chief Executive said:
"Our total funds grew by 4.0% during the quarter to £44.1bn. We are pleased with the overall business performance, particularly the resilience of our discretionary net inflows of £0.3bn in the quarter in challenging economic and market conditions. In this context, we are confident in our business model, strategy and long-term growth prospects, which are underpinned by our focused investment in the UK and Ireland, combined with continued operational discipline".
Q3 Highlights
·; Total funds increased by 4.0% to £44.1bn (H1 2019: £42.4bn).
·; Discretionary funds increased by 4.3% to £39.1bn (H1 2019: £37.5bn) driven by good inflows and investment performance.
o Discretionary net flows, including transfers, were £0.3bn in line with the prior quarter, representing an annualised growth rate of 3.2%, with positive net new flows across both the direct discretionary and intermediaries' channels.
o MPS net flows were £0.2bn, an annualised growth rate of 25.0%.
·; Total income was £87.3m (Q3 2018: £84.2m), an increase of 3.7%.
o Total discretionary income increased by 4.0% to £76.2m (Q3 2018: £73.3m) due to higher fee income.
o Financial planning income grew 22.0% to £7.2m (Q3 2018: £5.9m).
·; The acquisitions of Investec Capital and Investments (Ireland) Limited and the assets and staff of Epoch Wealth Management LLP are on track to complete as planned.
Full year results
The preliminary results for the year ended 30 September 2019 will be announced on 27 November 2019.
Funds
Total funds by service category1
£bn | 30 June 2018 | 30 September 2018 | 31 March 2019 | 30 June 2019 | Change | |
Last12 months | Last3 months | |||||
Direct discretionary | 24.8 | 25.1 | 24.8 | 25.7 | 3.6% | 3.6% |
Intermediaries | 9.2 | 9.5 | 9.5 | 9.9 | 7.6% | 4.2% |
MPS | 2.8 | 3.0 | 3.2 | 3.5 | 25.0% | 9.4% |
Indirect discretionary | 12.0 | 12.5 | 12.7 | 13.4 | 11.7% | 5.5% |
Total discretionary | 36.8 | 37.6 | 37.5 | 39.1 | 6.3% | 4.3% |
Execution only | 3.9 | 3.9 | 3.8 | 3.9 | 0.0% | 2.6% |
BPS | 0.2 | 0.1 | 0.2 | 0.2 | 0.0% | 0.0% |
Advisory | 1.4 | 1.2 | 0.9 | 0.9 | (35.7)% | 0.0% |
Total funds | 42.3 | 42.8 | 42.4 | 44.1 | 4.3% | 4.0% |
Indices |
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MSCI WMA Private Investor Balanced Index | 1,597 | 1,612 | 1,587 | 1,632 | 2.2% | 2.8% |
FTSE100 | 7,637 | 7,510 | 7,279 | 7,426 | (2.8)% | 2.0% |
Funds flow by service category - detailed movement1 in the quarter
£bn | 31 March 2019 | Inflows | Outflows | Internal transfers | Net flows | Growth Rate2 | Investment performance | 30 June 2019 |
Direct discretionary | 24.8 | 0.3 | (0.2) | (0.1) | 0.0 | 0.0% | 0.9 | 25.7 |
Intermediaries | 9.5 | 0.2 | (0.1) | - | 0.1 | 4.2% | 0.3 | 9.9 |
MPS | 3.2 | 0.2 | - | - | 0.2 | 25.0% | 0.1 | 3.5 |
Indirect discretionary | 12.7 | 0.4 | (0.1) | - | 0.3 | 9.4% | 0.4 | 13.4 |
Total discretionary | 37.5 | 0.7 | (0.3) | (0.1) | 0.3 | 3.2% | 1.3 | 39.1 |
Execution only | 3.8 | - | (0.1) | 0.1 | 0.0 | 0.0% | 0.1 | 3.9 |
BPS | 0.2 | - | - | - | 0.0 | 0.0% | - | 0.2 |
Advisory | 0.9 | - | - | - | 0.0 | 0.0% | - | 0.9 |
Total funds | 42.4 | 0.7 | (0.4) | - | 0.3 | 2.8% | 1.4 | 44.1 |
Funds flow by service category - detailed movement1 year to date
£bn | 30 September 2018 | Inflows | Outflows | Internal transfers | Net flows | Growth rate2 | Investment performance | 30 June 2019 |
Direct discretionary | 25.1 | 0.9 | (0.5) | (0.1) | 0.3 | 1.6% | 0.3 | 25.7 |
Intermediaries | 9.5 | 0.7 | (0.3) | (0.1) | 0.3 | 4.2% | 0.1 | 9.9 |
MPS | 3.0 | 0.4 | - | - | 0.4 | 17.8% | 0.1 | 3.5 |
Indirect discretionary | 12.5 | 1.1 | (0.3) | (0.1) | 0.7 | 7.5% | 0.2 | 13.4 |
Total discretionary | 37.6 | 2.0 | (0.8) | (0.2) | 1.0 | 3.5% | 0.5 | 39.1 |
Execution only | 3.9 | 0.2 | (0.4) | 0.4 | 0.2 | 6.8% | (0.2) | 3.9 |
BPS | 0.1 | - | - | - | 0.0 | 0.0% | - | 0.2 |
Advisory | 1.2 | - | (0.1) | (0.2) | (0.3) | (33.3)% | - | 0.9 |
Total funds | 42.8 | 2.2 | (1.3) | - | 0.9 | 2.8% | 0.3 | 44.1 |
Notes
1The funds figures are rounded to one decimal place and therefore may not always cast.
2 Annualised
Income
| Three months ended 30 June 2019 | Three months ended 30 June 2018 | Change | ||||||
£m | Fees | Commission | Total | Fees | Commission | Total | Fees | Commission | Total |
Direct discretionary | 40.4 | 15.9 | 56.3 | 38.8 | 16.1 | 54.9 | 4.1% | (1.2)% | 2.6% |
Intermediaries | 17.2 | 0.3 | 17.5 | 16.2 | 0.3 | 16.5 | 6.2% | - | 6.1% |
MPS | 2.4 | - | 2.4 | 1.9 | - | 1.9 | 26.3% | - | 26.3% |
Indirect discretionary | 19.6 | 0.3 | 19.9 | 18.1 | 0.3 | 18.4 | 8.3% | - | 8.2% |
Total discretionary | 60.0 | 16.2 | 76.2 | 56.9 | 16.4 | 73.3 | 5.4% | (1.2)% | 4.0% |
Financial planning | n/a | n/a | 7.2 | n/a | n/a | 5.9 | - | - | 22.0% |
Execution only | 1.1 | 1.4 | 2.5 | 1.1 | 1.6 | 2.7 | - | (12.5)% | (7.4)% |
BPS | 0.3 | - | 0.3 | 0.3 | - | 0.3 | - | - | - |
Advisory | 0.5 | 0.1 | 0.6 | 0.9 | 0.3 | 1.2 | (44.4)% | (66.7)% | (50.0)% |
Other income | n/a | n/a | 0.5 | n/a | n/a | 0.8 | - | - | (37.5)% |
Total income | n/a | n/a | 87.3 | n/a | n/a | 84.2 | n/a | n/a | 3.7% |
| Nine months ended 30 June 2019 | Nine months ended 30 June 2018 | Change | ||||||
£m | Fees | Commission | Total | Fees | Commission | Total | Fees | Commission | Total |
Direct discretionary | 116.0 | 43.8 | 159.8 | 114.6 | 43.9 | 158.5 | 1.2% | (0.2)% | 0.8% |
Intermediaries | 49.6 | 0.8 | 50.4 | 46.7 | 0.9 | 47.6 | 6.2% | (11.1)% | 5.9% |
MPS | 6.6 | - | 6.6 | 5.4 | - | 5.4 | 22.2% | - | 22.2% |
Indirect discretionary | 56.2 | 0.8 | 57.0 | 52.1 | 0.9 | 53.0 | 7.9% | (11.1)% | 7.5% |
Total discretionary | 172.2 | 44.6 | 216.8 | 166.7 | 44.8 | 211.5 | 3.3% | (0.4)% | 2.5% |
Financial planning | n/a | n/a | 19.8 | n/a | n/a | 18.1 | - | - | 9.4% |
Execution only | 3.3 | 4.5 | 7.8 | 3.3 | 4.8 | 8.1 | 0% | (6.3)% | (3.7% |
BPS | 0.9 | - | 0.9 | 0.8 | - | 0.8 | 12.5% | - | 12.5% |
Advisory | 1.6 | 0.3 | 1.9 | 4.1 | 1.5 | 5.6 | (61.0)% | (80.0)% | (66.1)% |
Other income | n/a | n/a | 2.4 | n/a | n/a | 1.9 | - | - | 26.3% |
Total income | n/a | n/a | 249.6 | n/a | n/a | 246.0 | n/a | n/a | 1.5% |
The Company's LEI number is 213800PS7FS5UYOWAC49
For further information:
Brewin Dolphin Holdings PLC |
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David Nicol, Chief Executive | Tel:+44 (0) 20 7248 4400 |
Siobhan Boylan, Finance Director | Tel:+44 (0) 20 7248 4400 |
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Camarco |
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Ben Woodford / Jane Glover | Tel:+44 (0) 20 3757 4990 |
Notes to Editors:
About Brewin Dolphin
Brewin Dolphin is one of the UK's leading independent providers of discretionary wealth management.
We continue to focus on discretionary investment management, and we manage £39.1 billion of funds on a discretionary basis. In line with the premium we place on personal relationships, we have built a network of 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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