REG - Schroders PLC - Q1 2026 Update

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RNS Number : 6530A  Schroders PLC  16 April 2026

Q1 2026 update: market turbulence offsets early positive flow momentum

16 April 2026

Total Group assets under management (AUM) ended the period at
£814.4 billion.

Net new business (NNB), excluding joint ventures (JVs) and associates, for the
first quarter was £(2.2) billion. NNB including JVs and associates for the
first quarter was £(1.1) billion.

 

Richard Oldfield, Group Chief Executive, said

"Our performance in the first quarter of 2026 reflected the shift in market
conditions as the period progressed. In January and February, demand trends
from late 2025 continued, with strong intermediary net flows into our Public
Markets strategies, while Group AUM was buoyed by strong markets. In March we
saw a reversal of these trends. As tensions escalated in the Middle East,
client sentiment shifted to a more risk-off stance amid heightened
geopolitical uncertainty. We continue to focus on supporting clients as they
navigate these conditions.

"We remain focused on our controllable cost base, whilst continuing to invest
in areas of strength. Since the start of the year, we have successfully
transitioned out of our operations in Brazil and Indonesia and expanded
outsourcing with our strategic partner, UST. Six months after launch, our
European Active ETF range has built strong momentum, ranking highest for net
new business into European Active ETFs in the first quarter, alongside
continued progress towards further international ETF expansion."

 

 £bn                                31 December  Net flows (NNB)  Investment returns, FX and other(1)  Acquisitions/  31

2025
closures(3)
 March

2026
 Public Markets                     533.1        (2.8)            (2.4)                                (1.9)          526.0
 Schroders Capital                  72.6         0.3              0.5                                  -              73.4
 Asset Management                   605.7        (2.5)            (1.9)                                (1.9)          599.4
 Cazenove Capital and other Wealth  85.3         0.1              (1.0)                                (0.6)          83.8
 Benchmark                          38.6         0.2              (2.1)(2)                             0.2            36.9
 Wealth Management                  123.9        0.3              (3.1)                                (0.4)          120.7
 Total excl. JVs                    729.6        (2.2)            (5.0)                                (2.3)          720.1

and associates
 JVs and associates                 94.1         1.1              (0.9)                                -              94.3
 Group total                        823.7        (1.1)            (5.9)                                (2.3)          814.4

(1)Includes currency movements, which increased Group AUM by £6.5 billion
(£5.5 billion excluding JVs and associates). (2)Includes £(1.5) billion
relating to a change in AUM recognition within Benchmark.
(3)Acquisitions/closures includes withdrawals from capabilities, geographies
and client services in order to simplify and scale the business. In Asset
Management, this includes the exit of operations in Brazil and Indonesia. In
Wealth Management, this reflects the optimisation of a small number of
portfolios and an acquisition in Benchmark.

Asset Management

Asset management AUM ended the period at £599.4 billion, as a result of
negative market impact and NNB of £(2.5) billion.

In Public Markets, we saw positive net flows for the first two months of the
year. However, these were more than offset by net outflows in March.

At an asset class level, we saw demand for income-generating capabilities,
resulting in net inflows of £1.8 billion in fixed income and £1.2 billion
in multi-asset. In particular, global corporate bonds and Asian multi-asset
strategies drew strong intermediary net inflows. In equities, the first two
months of the year saw modest outflows. In March, equity redemptions were
elevated across strategies, with total equity NNB of £(4.9) billion for the
quarter. In core solutions, NNB was £(0.9) billion, predominantly driven by
the run-off of a lower revenue margin mandate and short-term operational cash
flow movements.

In Schroders Capital, NNB was £0.3 billion. We saw net inflows in each of
private equity, private debt and credit alternatives and infrastructure. These
were offset by outflows from real estate. Together with £0.2 billion of net
flows from Future Growth Capital, which is included in JVs and associates,
Schroders Capital delivered £0.5 billion of NNB.

Asset Management AUM - by asset class

 £bn               31 December  Net flows (NNB)  Investment returns, FX and other  Acquisitions/  31

2025
closures(1)
 March

2026
 Equities          225.1        (4.9)            (0.8)                             (1.0)          218.4
 Fixed income      87.0         1.8              0.2                               (0.5)          88.5
 Multi-asset       102.4        1.2              (0.7)                             (0.4)          102.5
 Core solutions    118.6        (0.9)            (1.1)                             -              116.6
 Private markets   72.6         0.3              0.5                               -              73.4
 Asset Management  605.7        (2.5)            (1.9)                             (1.9)          599.4

(1)Acquisitions/closures include the exit of operations in Brazil and
Indonesia.

JVs and associates returned to net inflows at the start of the year with £1.1
billion of NNB, compared to £(8.5) billion in the first quarter of 2025. The
largest contribution came from our fund management venture with Bank of
Communications China.

Asset Management AUM - by channel

 £bn               31 December  Net flows (NNB)  Investment returns, FX and other  Acquisitions/  31

2025
closures(1)
 March

2026
 Intermediary      141.9        1.9              -                                 (0.5)          143.3
 Institutional     463.8        (4.4)            (1.9)                             (1.4)          456.1
 Asset Management  605.7        (2.5)            (1.9)                             (1.9)          599.4

(1)Acquisitions/closures include the exit of operations in Brazil and
Indonesia.

Wealth Management

Wealth Management AUM ended the period at £120.7 billion. In Cazenove Capital
and other Wealth, demand from UK private clients remained robust, albeit flows
were impacted by the usual significant seasonal tax-related redemptions in
January. Client engagement was a key focus during the quarter, with closer
collaboration to support their needs through market volatility and an evolving
tax environment. In Benchmark, we continue to make selective inorganic
acquisitions to expand our adviser network. Overall, net flows in the first
quarter were £0.3 billion.

 

Recommended all-cash offer for the combination of Nuveen and Schroders

On 12 February 2026 the boards of Schroders and Nuveen announced that they had
reached agreement on the terms of a recommended cash acquisition of Schroders
by PANTHEON, LLC ("Bidco") a newly incorporated subsidiary of Nuveen, LLC
("Nuveen"), a Teachers Insurance and Annuity Association of America ("TIAA")
company by way of a Scheme of Arrangement. The Scheme will require the
approval of Scheme Shareholders at the Court Meeting and Schroders
Shareholders at the separate General Meeting, both of which, together with the
Annual General Meeting, will be held at 1 London Wall Place, London, EC2Y 5AU,
later today, 16 April 2026.

For further information, please contact:

 Investor Relations
 Simonetta Hofstetter  +44 (0)20 7658 3442  Simonetta.Hofstetter@Schroders.com (mailto:Simonetta.Hofstetter@Schroders.com)
 Katie Wagstaff        +44 (0)20 7658 1985  Katie.Wagstaff@Schroders.com (mailto:Katie.Wagstaff@Schroders.com)

 

 Global Corporate Communications and Media
 Julie Foster  +44 (0)20 7658 4953  Julie.Foster@Schroders.com (mailto:Julie.Foster@Schroders.com)
 Andy Pearce   +44 (0)20 7658 2203  Andy.Pearce@Schroders.com (mailto: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
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statements and forecasts are based on the 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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