Close Brothers AM turns a profit as assets climb

The asset management division of Close Brothers, comprising both advised and managed solutions for clients, turned a profit in the six months to February thanks partly to a 6% increase in overall assets under management.

The division made an adjusted operating profit of £1.1m in the period, compared with a loss of £2.6m in the same period last year. Overall income on assets increased 9% to £36m, corresponding to an improved revenue margin on total assets of 84 basis points, the group said. In the period, new sales were offset by outflows including the maturity of a legacy structured fund, but overall the division benefited from positive market movements, meaning total AUM increased 6% to £8.9bn. The division said a "good proportion" of new advice business moved onto its discretionary fund managemen...