Discretionary fund manager (DFM) Rathbone Brothers has announced former Williams de Broë chief executive Philip Howell will join the business, as it reported a dip in profits for 2012.
Howell will join the DFM as deputy chief executive next month. He left Williams de Broë in May last year following the acquisition of Williams de Broë parent Evolution Group Investec. Williams de Broë has since been rebranded Investec Wealth & Investment.
Rathbones chief executive Andy Pomfret (pictured) said Howell’s ‘considerable experience will add to the strength and depth of our management team’.
The DFM has reported profits before tax of £45.1 million for 2012, a 2.4% drop from the £46.2 million reported in 2011. Funds under management rose 13.4% from £15.9 billion at the end of 2011 to £18.0 billion at the end of December.
The FTSE 100 rose 5.9% during that period, with Rathbones reporting a 6% net increase in assets. This figure includes asset boosts from the acquisitions of investment managers RM Walkden & Co and AIB Jersey, and outflows due to the loss of mandates to run both the Albany investment trust and investments for national advice firm Cavanagh Financial Management, now owned by Close Brothers Asset Management.
Rathbones’ Financial Services Compensation Scheme bill rose from £600,000 in 2011 to £1 million in 2012.
Pomfret said 2012 had presented ‘a demanding investment climate for both Rathbones and our clients’. Chairman Mark Nicholls added that the DFM was well-positioned to deal with the retail distribution review.