Schroders profits rise after Cazenove purchase

7th Nov 2013 07:37

- Third quarter profits up- Assets under management reach 256.7bn pounds- Q3 net inflows of 1bn poundsSchroders reported a sharp rise in third quarter profits helped by the recent acquisition of Cazenove Capital.The fund manager said pre-tax profits rose to £106.2m in the three months to the end of September from £88.6m in the same period last year on the back of revenues which rose to £366m from £276.5m. Funds under management have risen to £256.7bn at the end of September from £235.7bn at the end of June following a £20.1bn boost from the acquisition of Cazenove Capital and £1bn of net inflows.Chief Executive Michael Dobson said: "Cazenove Capital has materially strengthened our wealth management business and added to our capabilities in equities, multi-manager and fixed income and generated net inflows of £0.7 billion in the third quarter."Schroders' asset management division saw clients pour a net £1.7bn into its funds in the three months to the end of September but its wealth management division had suffered a £0.7bn net outflow following the lost of a large custody account. Shares in Schroders were down 1.9% at 2555p at 08:05 on Thursday. TB