MiFID II costs blamed for profit fall at Aviva Investors as redemptions hit £7bn

AUM declines by £20bn

Aviva Investors was hit with £7bn in net outflows in 2018 and saw total AUM fall to £330.7bn from £350.7bn at the same time last year.

In results published today (7 March) the firm revealed that MIFID II costs and an expansion of investment capabilities saw its total expenses climb by 9.3% to £447m in 2018 as profits fell by 12% to £150m. Aviva Investors overhauls UK Growth fund and renames raft of mandates Meanwhile its top-line growth slowed, rising 4% to £597m from £577m in 2017. The firm blamed the decline in profits on an "expansion of our global distribution reach and absorption of regulatory costs (particularly MiFID II) which we did not pass on to our clients". Aviva Investors explained it had invested ...