St. James's Place profits dented by RDR

St. James's Place failed to make a profit from its distribution arm in the first half of 2011, citing the impact of the Retail Distribution Review (RDR), although group operating profit was up 13%.

Compared to a profit of £5.9m for the equivalent period in 2010, the firm's distribution arm returned zero profit due to lower adviser remuneration across product categories ahead of the Retail Distribution Review (RDR). However, the group's overall operating profit for the six months to 30 June stood at £183.6m, up 13% from last year's figure of £162.1m. New business profits increased 27% from £100.9m to £127.7m. Meanwhile, the firm saw net inflow of funds surge 13% from £1.5bn in 2010 to £1.7bn. Funds under management grew 8% since the start of the year and 30% over the twelve month...