Brooks Macdonald takes FUM through £10bn

Edinburgh-based AIM Listed investment management group Brooks Macdonald has reported a strong end to its final quarter, ending the financial year with record funds under management of £10.5 billion, an increase of 25.9 per cent over the year and 5.3 per cent over the quarter.

The firm said all segments increased FUM over the year.

Asset Management grew strongly across both BPS and MPS, while BMI is now through £1.5bn and Funds business is performing well with Defensive Capital Fund now over £400 million FUM.

The group said underlying profits are anticipated to be in line with expectations, when results for the year to 30 June 2017 are published in September.

The firm also said completion of its previously announced IT system development remains on budget and on time.

Caroline Connellan, Chief Executive of Brooks Macdonald, said: “I am pleased to report that Brooks Macdonald has completed another successful year with funds under management growing over 25 per cent and exceeding £10 billion for the first time. In addition, underlying profits for the year are anticipated to be in line with expectations.

“To position the business for future growth, we will be stepping up investment in our regulatory and risk management capabilities. While the associated costs will have an impact on profitability in the near term, this will result in a much stronger platform both now and for delivering sustainable growth in the future.

“Today we have also announced that we are dealing decisively with certain legacy matters. This decision upholds our commitment to protect our clients’ best interests and supports our relationships with key intermediaries.

“As the incoming CEO of Brooks Macdonald, I am excited by the opportunities we have to deliver value for our clients, partners and shareholders in the years to come. We enter our new financial year with strong momentum across the Group while remaining cautious around markets and client sentiment.”