Turbulent markerts hit Brewin Dolphin
INVESTMENT manager Brewin Dolphin has admitted that the difficult market conditions have impacted its fourth quarter dealings.
The firm, which has a major office in Manchester has seen its advisory funds fall 8.7% from £9.2bn in 2010 to £8.4bn in the year to September 2011. However, discretionary funds have grown 11.4% to £15.6bn (2010: £14bn).
Total funds under management stood at £24bn at the end of September, (2010: £23.2bn), an increase of 3.4%.
In a pre closing statement for the 53 weeks to September 30, 2011, the firm, which also has an offices in Chester, said: “The fourth quarter has seen difficult market conditions.”
It said that excluding the acquisition of Tilman Brewin Dolphin Ltd (formerly Tilman Asset Management Ltd), the Dublin based fund manager, discretionary funds under management had grown by 10.9% above the APCIMS private investor index and the growth in value of total funds under management exceeded the APCIMS index by 3.8%.
Against this growth in funds under management, the group has invested £3m in a major business review. The results of this review are scheduled to roll out over the next three years with the aim of improving margins and providing better services to clients.
Stage one of the review has seen the introduction of a national rate card for new clients. The new rates will be brought in for existing clients during 2012, when trail commission will be phased out.
“This major initiative will help to underpin the group’s income in what could well be continuing difficult market conditions,” said the firm.
It said it was also making progress in relation to the disposal of the group’s Corporate Advisory and Broking Division, which was announced in May.
“It is now anticipated that completion will take place at the end of 2011. Encouragingly the division has continued to trade profitably before costs relating to the disposal,” it said.
