One of the UK's leading providers of personalised discretionary wealth management services – which has a major presence in Newcastle – has announced that its total managed funds have now risen by 2.5% to £28.9bn.
The news was revealed in Brewin Dolphin’s interim management statement for September 30, 2013, to yesterday.
Highlights show that the group has continued to make good progress against its strategic targets in this first quarter. Brewin chief executive David Nichol said income growth was driven by good investment performance, new clients and a transparent pricing structure.
He added that the group’s total income increased by 6.5% in the first quarter of the financial year to £69.6m from £65.4m for the equivalent period last year, while core income from discretionary, advisory and execution-only services continued to grow strongly to £63.8m, up 15% from £55.4m in 2013.
And although other non-core income declined by 40.8% to £5.9m in the quarter, from £9.9m in 2013, this was due to the planned ongoing switch to non-trail paying fund units in line with guidance.
Brewin Dolphin is two and a half years into a transformation and growth strategy which has two main priorities – continued strong growth and increased efficiency.
Nichol said: “Total managed/advised funds increased by 2.5% in the quarter to £28.9bn from £28.2bn in September 2013. The strategy of focusing on our discretionary service while completing the remaining reviews of advisory services is reflected in the ongoing organic growth in discretionary funds and net outflows from advisory funds.
“Discretionary funds increased by 4.2% in the quarter, including £0.3bn of net new funds. Net outflows from our advisory service categories continued in the quarter, in line with expectations, while achieving an increasingly successful rate of conversion to a discretionary managed service. Our outlook remains positive as we continue to implement our transformation and growth strategy for the business.
“Continuing improvement in equity market conditions, allied to the increasingly encouraging outlook for the broader UK economy, gives us growing confidence that successful implementation of our strategy will create long-term value for both our customers and our shareholders.”
Brewin Dolphin has more than 30 offices throughout the UK and Channel Islands.
It employs more than 350 people in Newcastle, where one of its largest offices is based, providing much of the company’s administrative functions.