Trading Statement

Trading Statement

25 January 2013

Miton Group plc

Year End Trading Update

Notice of Results

Miton Group plc, formerly known as MAM Funds plc, the AIM quoted fund management group, announces a trading update for its financial year ended 31 December 2012.

Highlights

·; Year end assets under management of £1.79bn (2011: £1.67bn)

·; Adjusted Profit* before tax likely to be ahead of expectations

·; Year end net cash stood at £12.0m (2011: £9.9m)

·; Product range updated, successful new fund launches and C share issues

·; Recruitment of four new fund managers heralds the launch of three new funds in 2013

Financials

Overall assets under management at 31 December 2012 were £1.79 billion - an increase of 7.2% during the year. The Board expects Adjusted Profit* before tax for the year ended 31 December 2012 to be ahead of market expectations of £3.4m. Amortisation is expected to be in line with prior years. Total cash at the year end stood at £12.0m (2011: £9.9m).

With broader marketing there have been inflows into our largest collective funds despite their defensive positioning in rising markets. This contrasted with the former Midas funds, where net outflows reflected the adverse industry trend despite improved performance. Our new equity funds gathered momentum during 2012 from start up some 20 months ago due to superior investment performance and lower than average volatility.

Brand

There is an ever greater need to differentiate our offering now that many fund managers are seeing outflows. We are unifying our funds under the Miton brand name to clarify our distinctive proposition for investor clients. At a General Meeting yesterday shareholders gave their approval to change the company's name to Miton Group plc.

Refocused fund range

In 2012 we reviewed and updated our product range to address investors' requirements and to provide clarity of investment theme:

i. launched two new funds: CF Miton Global Diversified Income and CF Miton UK Smaller Companies

ii. merged two small funds into two larger funds: CF Miton UK Multi Cap Income and CF Miton Global Opportunities

iii. relaunched CF Miton Global Opportunities and CF Miton Total Return funds.

iv. raised an additional £51m of assets through two separate successful C share issues for the Diverse Income Trust.

Outlook

In 2013 we aim to build upon the success of our UK equity funds with the launch of three new equity funds following the recent recruitment of Nick Ford, George Godber, Georgina Hamilton and Hugh Grieves. These will have distinctive strategies in the UK mid & large cap and US multi cap sectors. Inevitably there will be a lag before we see material AUM and revenue growth arising from these recent appointments. However we believe there is a great opportunity to take market share beyond RDR and therefore we are prepared to invest further in systems and resources to raise the trajectory of our business.

Final results

The Board expects to announce the Group's final results for the year ended 31 December 2012 on 18 March 2013.

Ian Dighé (Executive Chairman) said:

"Miton has had a very active and profitable year. We have stepped up the investment in and the trajectory of the business and expect to continue this strategy in 2013. Our refocused and expanded range of funds, and talented fund managers, are building a strong platform for growth."

For further information, please contact:

Miton Group plc

Ian Dighé (Executive Chairman) 07785 703261

Gervais Williams (Managing Director) 07811 331824

Robert Clarke (Group Finance Director & Director of Operations) 07766 688983

MHP 020 3182 8100

Reg Hoare 

Peel Hunt (NOMAD and Broker) 020 7418 8900

Guy Wiehahn/ Andy Crossley

*Adjusted Profit represents profit on continuing activities before tax, amortisation, exceptional items and share based payments but net of interest.

Further information on Miton can be found at: www.mitongroup.com

Note to Editors:

Miton Group plc is a leading multi-asset and equity fund management specialist. The group manages £1.8 billion of assets including nine OEICs, three investment trusts and segregated client accounts under the Miton brand.  Members of the fund management team invest in their own funds and are significant shareholders in the company. Miton has offices in Reading, Liverpool and London.