REG - St. James's Place - 2024 New Business Inflows & Funds Under Management

St James's PlaceAnnouncement

30/01/2025 07:00

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RNS Number : 1604V  St. James's Place PLC  30 January 2025

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PRESS RELEASE

 

30 January 2025

 

 NET INFLOWS AND STRONG INVESTMENT RETURNS FOR CLIENTS DRIVE RECORD FUNDS
UNDER MANAGEMENT

 

St. James's Place plc ('SJP') today issues an update on new business inflows
and funds under management for the year ended 31 December 2024.

 

Mark FitzPatrick, Chief Executive Officer, commented:

"I am pleased to report a strong final quarter for SJP. Our advisers attracted
£5.5 billion of new client investments to the business, continuing the
momentum that began to build earlier in the year and bringing our annual gross
inflows to £18.4 billion, up 20% on 2023. Annual retention of client
investments remained high, supporting an improvement in net inflows to £1.5
billion for the final quarter and bringing the total to £4.3 billion for the
year. Our investment management approach has continued to work well for our
clients, with our portfolios delivering strong returns that compare favourably
against peer groups. This, together with another year of net inflows, drove
our funds under management (FUM) to £190.2 billion at 31 December 2024; a
record for FUM.

 

The run up to the Autumn Budget created uncertainty for UK consumers and led
to an increase in both gross inflows and outflows in the month of October.
Client engagement levels were high throughout the quarter as our advisers
provided support, reassurance and invaluable advice that helped clients
navigate the uncertainty and safeguard their long-term financial futures.

 

We continue to focus on our three key programmes of work and as we approach
the final stages of implementing our simple and comparable charging structure,
we remain on track for delivery by the second half of 2025 and in line with
our financial guidance. The work to review historic client servicing records
and implement our cost and efficiency programme continues to progress as
planned.

 

SJP has had a successful year. We have increased our client and adviser
numbers, sustained net inflows and achieved record FUM. Looking forward, we
see a growing need for trusted financial advice, and I am confident in our
ability to capture this and deliver great outcomes for clients and all our
stakeholders."

 

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                                             2024          2023
                                             £'Billion     £'Billion
 Gross inflows                               18.41         15.39
 Net inflows                                 4.33          5.12
 Net investment return                       17.68         14.71
 Closing funds under management              190.21        168.20

 Funds under management retention rate(1)    94.5%         95.3%
 Net inflows/opening funds under management  2.6%          3.5%

(1) Throughout this press release our retention rate is calculated allowing
for surrenders and part-surrenders. It excludes regular income withdrawals and
maturities.

 

 

 

Enquiries:

 Hugh Taylor, Director - Investor Relations            Tel: 07818 075143
 Angela Warburton, Director - External Communications  Tel: 07912 281502

 Brunswick Group:                                      Tel: 020 7404 5959
 Eilis Murphy                                          Email: sjp@brunswickgroup.com (mailto:sjp@brunswickgroup.com)

 Charles Pretzlik

 

 

 

Contents

 

1.     Funds under management

2.     Analysis of funds under management

 

 

1.     Funds under management

 

 Three months ended 31 December 2024                    Investment    Pension       UT/ISA and    Total

                                                                                     DFM
                                                        £'Billion     £'Billion     £'Billion     £'Billion
 Opening FUM                                            38.05         98.26         48.09         184.40
 Gross inflows                                          0.86          3.54          1.08          5.48
 Net investment return                                  0.90          2.56          0.82          4.28
 Regular income withdrawals and maturities              (0.08)        (1.24)        -             (1.32)
 Surrenders and part-surrenders                         (0.55)        (1.14)        (0.94)        (2.63)
 Closing FUM                                            39.18         101.98        49.05         190.21
 Net inflows/(outflows)                                 0.23          1.16          0.14          1.53
 Implied surrender rate as a percentage of average FUM  5.7%          4.6%          7.7%          5.6%

 

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 Three months ended 31 December 2023                    Investment    Pension       UT/ISA and    Total

                                                                                     DFM
                                                        £'Billion     £'Billion     £'Billion     £'Billion
 Opening FUM                                            34.43         81.31         42.83         158.57
 Gross inflows                                          0.48          2.46          0.73          3.67
 Net investment return                                  1.67          4.87          2.32          8.86
 Regular income withdrawals and maturities              (0.08)        (0.70)        -             (0.78)
 Surrenders and part-surrenders                         (0.51)        (0.62)        (0.99)        (2.12)
 Closing FUM                                            35.99         87.32         44.89         168.20
 Net inflows/(outflows)                                 (0.11)        1.14          (0.26)        0.77
 Implied surrender rate as a percentage of average FUM  5.8%          2.9%          9.0%          5.2%

 

 Twelve months ended 31 December 2024                   Investment    Pension       UT/ISA and    Total

                                                                                     DFM
                                                        £'Billion     £'Billion     £'Billion     £'Billion
 Opening FUM                                            35.99         87.32         44.89         168.20
 Gross inflows                                          2.42          12.06         3.93          18.41
 Net investment return                                  3.37          10.03         4.28          17.68
 Regular income withdrawals and maturities              (0.36)        (3.92)        -             (4.28)
 Surrenders and part-surrenders                         (2.24)        (3.51)        (4.05)        (9.80)
 Closing FUM                                            39.18         101.98        49.05         190.21
 Net inflows/(outflows)                                 (0.18)        4.63          (0.12)        4.33
 Implied surrender rate as a percentage of average FUM  6.0%          3.7%          8.6%          5.5%

 

 Twelve months ended 31 December 2023                   Investment    Pension       UT/ISA and    Total

                                                                                     DFM
                                                        £'Billion     £'Billion     £'Billion     £'Billion
 Opening FUM                                            33.29         73.86         41.22         148.37
 Gross inflows                                          2.09          9.77          3.53          15.39
 Net investment return                                  2.89          8.23          3.59          14.71
 Regular income withdrawals and maturities              (0.36)        (2.41)        -             (2.77)
 Surrenders and part-surrenders                         (1.92)        (2.13)        (3.45)        (7.50)
 Closing FUM                                            35.99         87.32         44.89         168.20
 Net inflows/(outflows)                                 (0.19)        5.23          0.08          5.12
 Implied surrender rate as a percentage of average FUM  5.5%          2.6%          8.0%          4.7%

 

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2.     Analysis of funds under management

 

The table below provides a geographical and investment-type analysis of FUM at
31 December.

 

                            31 December 2024          31 December 2023
                            £'Billion     Percentage  £'Billion     Percentage

                                          of total                  of total
 North American equities    74.9          39%         57.4          34%
 Fixed income securities    31.6          16%         27.1          16%
 European equities          24.3          13%         23.6          14%
 Asia and Pacific equities  24.0          13%         20.5          12%
 UK equities                16.0          8%          16.0          10%
 Cash                       6.9           4%          7.2           4%
 Alternative investments    6.2           3%          10.5          6%
 Other                      5.0           3%          4.1           3%
 Property                   1.3           1%          1.8           1%
 Total                      190.2         100%        168.2         100%

 

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