Schroders starts well in 2010 after decent '09

4th Mar 2010 08:05

Fund manager Schroders has got off to a good start in 2010 after enjoying record net inflows and funds under management last year.Net new business inflows jumped to £15bn compared with net outflows of £9.6bn in 2008, while funds under management ended the year at £148.4bn versus £110.2bn a year earlier.Total profit before tax and after exceptional items rose 12% to £137.5m as gross sales grew to £54.1bn from £41.6bn and one-off items reduced to £62.7m from £167.4m last time.Lower net revenue margins and reduced performance fees resulted in a 10% fall in net revenue to £788.9m, with asset management net revenue 9% lower at £679.2m and down 12% at private banking to £97.7m."After the gains over the past nine months, and with most developed countries still facing economic and financial challenges, a period of consolidation in financial markets is likely," said the company."However, 2010 has started well with high levels of net inflows in Institutional and Intermediary and we see further significant organic growth opportunities longer term, based on strong investment performance for clients, a broad product range, a proven distribution capability and a geographically diversified business."A second interim dividend of 21p is being paid in lieu of a final dividend keeps the total dividend for the year at 31p.