Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Close Brothers grows AUM by 3% but low volumes hit securities arm

Close Brothers grows AUM by 3% but low volumes hit securities arm

Close Brothers has seen assets under management rise by 3% to £8.5 billion over the five months to the end of December, the group said in a trading update.

Its banking division is continuing to increase its profitability, Close said, with its loan book growing by 6% to £4.4 billion, up from £4.1 billion at the end of July. Although the net interest margin was lower than in its previous financial year, this was offset to an extent by a further decrease in the bad debt ratio.

Close said low trading volumes have hit the performance of its securities division with its subsidiary Winterflood reporting a fall in the number of share deals executed compared to the same period last year.

The statement said: ‘The group is well positioned for the remainder of the 2013 financial year. The banking division continues to see solid prospects for growth and asset management remains on track to move into profitability during the course of this financial year. Challenging trading conditions continue to impact Winterflood's performance although it remains well positioned for any market recovery.’

Close is due to report its half year results for the six months to the 31 January on 12 March. In early morning trading, the group’s shares were broadly flat, down 3p or 0.31% at 972p.   

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Volatility spike: How ETFs can soften the blow

Volatility spike: How ETFs can soften the blow

ETFGI’s Deborah Fuhr discusses the role of ETFs in client portfolios during volatile market conditions

Play Winter market warmers, the post QE world and timing the Fed

Winter market warmers, the post QE world and timing the Fed

This week’s episode of Investment Pulse looks at the winding down of quantitative easing, whether to try and time a US Federal Reserve rate rise and if strong seasonal performers can reverse recent market slumps

Play JPM’s Negyal: Back divis to temper EM volatility

JPM’s Negyal: Back divis to temper EM volatility

Omar Negyal, co-manager of the JPMorgan Global Emerging Markets Income trust, says a dividend approach to emerging markets reduces the volatility of investing in the asset class.

Wealth Manager on Twitter