REG - Schroders PLC - Q3 2024 Update

SchrodersAnnouncement

05/11/2024 07:00

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RNS Number : 8977K  Schroders PLC  05 November 2024

Schroders plc
Q3 2024 update

5 November 2024

Total assets under management (AUM) reached a new high of £777.4 billion and
the Group's net flows for the nine months to 30 September 2024 totalled £1.6
billion.

 £bn                                  30 June 2024  Net flows  Markets, FX and investment performance(¹)   30 September 2024
 Private Markets                 68.5               1.0        (0.7)                                       68.8
 Solutions                       220.8              (2.7)      3.1                                         221.2
 Mutual Funds                    107.8              1.3        1.1                                         110.2
 Institutional                   140.7              (0.3)      1.9                                         142.3
 Asset Management                537.8              (0.7)      5.4                                         542.5
 Advised                         75.3               0.8        0.1                                         76.2
 Platform                        20.2               0.4        0.3                                         20.9
 Managed                         24.0               (0.2)      0.4                                         24.2
 Wealth Management               119.5              1.0        0.8                                         121.3
 Total excl. JVs and associates  657.3              0.3        6.2                                         663.8
 JVs and associates              116.4              (2.6)      (0.2)                                       113.6
 Group total                     773.7              (2.3)      6.0                                         777.4

¹Includes currency movements, which decreased AUM by £13.4 billion excluding
JVs and associates and £17.0 billion for the Group total.

AUM excluding joint ventures (JVs) and associates grew to £663.8 billion
driven by positive net flows, markets and investment performance. Net flows in
JVs and associates, which were £5.2 billion positive in the nine months to
30 September 2024, were negative in the third quarter due to continued market
volatility in China.

In Asset Management, positive net flows in Private Markets were offset by
foreign exchange movements and in Solutions, the quarter-on-quarter net
outflow continued to reduce. In Mutual Funds, client demand for fixed income
strategies continued to support AUM growth but drove a change in mix. In
Institutional, flows were relatively stable.

While there are good mandates funding across Asset Management in 2025, in the
fourth quarter of 2024 a notified outflow of c.£8 billion from the legacy
Scottish Widows mandate will affect Solutions, and we have notified losses
from three Institutional clients totalling c.£2 billion.

In Wealth Management, against a backdrop of falling interest rates, positive
net flows were driven by our advised business, reflecting continued momentum
in Cazenove Capital, while outflows in the managed business were driven by a
single client insourcing decision. We remain on track to achieve our net new
business target of 5-7% of opening AUM per annum.

 

Richard Oldfield, Chief Financial Officer, said:

"AUM has reached £777.4 billion, with positive net flows in the first nine
months of the year of £1.6 billion. Clients continue to benefit from the
strength of our diverse client proposition, notably in the third quarter in
our mutual funds business and Cazenove Capital.

 

"As the new Group CEO, I will be leading a business with a strong investment
franchise, deep client relationships, exceptional talent and significant
potential for profitable growth. I will do what is necessary to deliver on
this potential. Standing still is not an option for Schroders in today's
fast-changing market landscape. We must focus to grow, build greater
commercial discipline and drive efficiencies though simplification and
flawless execution.

 

"I would personally like to thank Peter for his contribution to Schroders over
the last decade and for his support during the transition period."

 
 

For further information, please contact:

 Investor Relations
 Katie Wagstaff      Tel: +44 (0)20 7658 1985   Katie.Wagstaff@Schroders.com (mailto:Katie.Wagstaff@Schroders.com)

 Miriam McKay        Tel: +44 (0)20 7658 7966   Miriam.McKay@Schroders.com
 Media Relations and Corporate Communications
 Andy Pearce         Tel: +44 (0)20 7658 2203   Andy.Pearce@Schroders.com (mailto:Andy.Pearce@Schroders.com)

 Julie Foster        Tel: +44 (0)20 7658 4953   Julie.Foster@Schroders.com

 

A conference call for analysts and investors will be held at 0800 GMT. Once
registered on https://www.schroders.events/Q32024
(https://www.schroders.events/Q32024) a link to the call will be shared via
email. Please visit www.schroders.com/ir (http://www.schroders.com/ir) to
learn how we handle personal data.

Forward-looking statements

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should be construed as a forecast, estimate or projection of future financial
performance.

 

 

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