Schroders

10th Nov 2009 07:43

Fund manager Schroders made a bigger than expected profit during the third quarter and funds under management rose sharply as investors ploughed money back into the market.Profit before tax and exceptional items rose to £57.8m in the three months to 30 September, down 19% from £71.5m a year earlier. Analysts expected less than £50m. They'd slumped 56% in the first half.After exceptional items, profit fell 44% to £43.6m, again, not as severe as the 73% plunge during the first six months of 2009.Third quarter net inflows hit £7bn, with £3.7bn in intermediary and £3.3bn in institutional, helping funds under management jump 23% to £138.9bn from £113.3bn at the end of June.Net inflows have continued to be good since the quarter end, Schroders said.Asset Management income for the quarter dipped to £177.5m from £188.1m a year ago, leaving profit before tax and exceptional items at the unit down 39% at £121.6m.Meanwhile, private banking income fell to £23.6m from £29m in 2008, taking profit before tax down to £6.3m from £11.6m.