Brewin Dolphin fund inflows hit £1bn in latest quarter
Investment management firm Brewin Dolphin saw record discretionary inflows of £1bn in the first quarter of the financial year.
In a trading update published today, Brewin Dolphin revealed that in the three months to 31 December total income climbed by 8.9 per cent to £104.4m, with commission income rising to £14m, driven by higher funds and a strong market performance. The company increased total funds under management to £59bn, up by 3.7 per cent compared to the end of the previous financial year, while discretionary funds were up 4.4 per cent at £52bn supported by robust net flows and investment performance.
“We are pleased to announce a record first quarter performance with £1.0bn of discretionary inflows,” said chief executive officer Robin Beer.
“Our priority remains on completing the final phased rollout of functionality for our new custody and settlement system and removing the parallel running of systems, which will complete in summer of this year. Our strategic ambition of becoming the leading advice-focused digitally enabled wealth manager continues to drive strong financial results and positions us well to capture further market growth,” Beer continued.
Brewin Dolphin revealed that around 65 per cent of discretionary fund inflows were from new clients during the quarter suggesting its growth strategy is paying off.
On the back of today’s results brokers from Liberum labelled the stock a BUY in a trading note which gave Brewin Dolphin shares a target price of 430p, up from yesterday’s close price of 325p.
“Brewin Dolphin has announced a record first quarter performance of £1.0bn of discretionary inflows and represents the fourth consecutive quarter of strong fund inflows momentum, evidencing the success of the group’s refreshed advice-focused strategy to broaden its range of propositions and distribution channels to reach wider demographics,” said the experts at Liberum.
Read more: Brewin Dolphin draws in record fund inflows