REG - Schroders PLC - Q3 2025 Update

SchrodersAnnouncement

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RNS Number : 4740E  Schroders PLC  23 October 2025

 

Q3 2025 update: net inflows and supportive markets lift AUM to new high

23 October 2025

Total Group assets under management (AUM) increased 5% quarter-on-quarter,
reaching a new high of £816.7 billion.

Net new business (NNB), excluding joint ventures (JVs) and associates, for the
third quarter was £4.9 billion (third quarter 2024: £0.3 billion). Year to
date NNB was £9.4 billion (year to date 2024: £(3.6) billion).

We continued to make strong progress against our strategy by focusing our
Wealth Management business, announcing our strategic decision to exit
Indonesia and Brazil, and launching our active ETF range in Europe.

 £bn                                30 June  Net flows  Markets,                           Acquisitions/  30 September

2025
FX and investment performance(1)
closures(2)
2025
 Public Markets                     470.7    3.5        27.8                               -              502.0
 Schroders Capital                  71.0     0.9        1.1                                (1.4)          71.6
 Asset Management                   541.7    4.4        28.9                               (1.4)          573.6
 Cazenove Capital and other Wealth  93.7     0.7        4.8                                -              99.2
 Benchmark                          35.2     (0.2)      1.8                                0.3            37.1
 Wealth Management                  128.9    0.5        6.6                                0.3            136.3
 Total excl. JVs                    670.6    4.9        35.5                               (1.1)          709.9

and associates
 JVs and associates                 106.0    (2.7)      3.5                                -              106.8
 Group total                        776.6    2.2        39.0                               (1.1)          816.7

(1)Includes currency movements, which increased Group AUM by £8.4 billion
(£7.1 billion excluding JVs and associates). (2)£(1.4) billion reduction in
AUM relates to the closure of the Real Estate business in Munich. £0.3
billion increase in AUM in Wealth Management relates to the acquisition of
Robertson Baxter.

Richard Oldfield, Group Chief Executive, said

"We remain steadfast in our commitment to active management as we help our
clients to navigate complex markets. We are pleased to report our fourth
successive quarter of positive net new business excluding JVs and associates,
and £9.4 billion of positive net flows in the first nine months of the year.
AUM hit an all-time high, buoyed by supportive market conditions. In addition,
our client focus and investment rigour is translating into strong client
investment performance.

"The re-focusing of our business is progressing to plan and the continued
simplification enables us to focus on areas of scalable growth where we can
best support our clients. Since our half year results, we have successfully
launched two Active ETFs in Europe and announced our decision to exit two
markets where we knew we could not scale alone - Brazil and Indonesia. We have
simplified Wealth Management, regaining full ownership of Cazenove Capital in
exchange for our stake in Schroders Personal Wealth.

"As we approach the end of the year, we continue to deliver on our strategy to
return to profitable growth, laying the groundwork to build an efficient and
scalable business, which is fit for the future."

Asset Management

In Public Markets, we have seen significant net inflows of £6.7 billion into
core solutions in the third quarter, with notable success in partnering with
pension clients to deliver outsourced CIO and fiduciary management run-on
solutions. In equities, demand for our quantitative equities product (QEP) was
offset predominantly by outflows from Asia Pacific equities. In fixed income,
global and European bonds continued to see strong client demand, while
outflows were driven largely by redemptions from Asia Pacific and UK
strategies.

Schroders Capital recorded strong net inflows in private debt and credit
alternatives. We continued to see good growth in private equity where our
leadership in evergreen semi-liquid product innovation is driving flows. Real
estate recorded outflows in both the UK and Asia, where we are taking actions
to streamline the business in line with our strategy.

JVs and associates net outflows were driven by institutional client
redemptions in our Bank of Communications fund management company JV across
fixed income and equities, as clients realised gains following recent market
strength.

Asset Management AUM - by asset class

 £bn               30 June  Net flows  Markets,                        Acquisitions/  30 September 2025

2025
FX and investment performance
closures(3)
 Equities          199.9    (3.0)      20.6                            -              217.5
 Fixed income      80.1     0.1        1.7                             -              81.9
 Multi-asset       82.5     (0.3)      5.0                             -              87.2
 Core solutions    108.2    6.7        0.5                             -              115.4
 Private markets   71.0     0.9        1.1                             (1.4)          71.6
 Asset Management  541.7    4.4        28.9                            (1.4)          573.6

(3) £(1.4) billion reduction in AUM relates to the closure of the Real Estate
business in Munich.

Asset Management AUM - by channel

 £bn               30 June  Net flows  Markets,                        Acquisitions/  30 September 2025

2025
FX and investment performance
closures(3)
 Intermediary      126.0    1.3        8.7                             -              136.0
 Institutional     415.7    3.1        20.2                            (1.4)          437.6
 Asset Management  541.7    4.4        28.9                            (1.4)          573.6

Wealth Management

Within Cazenove Capital, our private client flows continued to show strong
momentum, with NNB of 5%, demonstrating clients' trust in our wealth planning
and advisory expertise. Our charities team generated strong gross inflows.
However, these were offset by draw downs on charity reserves in response to a
challenging funding environment and increased demand for their services. We
expect to see this trend continuing in the short to medium term. Net outflows
in Benchmark were principally driven by one adviser firm, which moved its
model portfolio service to another provider.

Strategic progress

We continue to advance at pace against our strategic ambitions to simplify,
scale and deliver in order to return to profitable growth. Since June, we have
made strides in progressing our transformation and restructuring agenda. These
include:

 ·             Strengthening our Wealth Management platform by regaining full ownership of
               Cazenove Capital in exchange for our stake in Schroders Personal Wealth (SPW),
               and establishing a new multi-year investment management agreement to continue
               managing SPW and Scottish Widows assets
 ·             Announcing our strategic decision to exit two markets - Indonesia and Brazil,
               and
 ·             Launching our active ETF range in Europe, as we scale our investment and
               operating platform to enhance access for existing and new clients.

We will continue to reshape and invest in our business to ensure we have a
platform for sustainable long-term success.

For further information, please contact:

 Investor Relations
 Simonetta Hofstetter  Tel: +44 (0)20 7658 3442  Simonetta.Hofstetter@Schroders.com
 Katie Wagstaff        Tel: +44 (0)20 7658 1985  Katie.Wagstaff@Schroders.com
 Corporate Communications and Media
 Julie Foster          Tel: +44 (0)20 7658 4953  Julie.Foster@Schroders.com
 Andy Pearce           Tel: +44 (0)20 7658 2203  Andy.Pearce@Schroders.com

 

Please visit www.schroders.com/ir to learn how we handle personal data.

 

Forward-looking statements:

The information provided in this document has not been subject to audit. This
announcement and the Schroders website may contain forward-looking statements
with respect to the financial condition, performance and position, strategy,
results of operations and businesses of the Schroders Group. Such statements
and forecasts involve risk and uncertainty because they are based on current
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Directors' current view and information known to them at the date of this
statement. The Directors do not make any undertaking to update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise. Nothing in this announcement or on the Schroders website
should be construed as a forecast, estimate or projection of future financial
performance.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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