Brooks Macdonald Group (BRK)

Sector:

Financials

Index:

FTSE AIM 100

 2,010.00p
   
  • Change Today:
      0.000p
  • 52 Week High: 2,240.00
  • 52 Week Low: 1,590.00
  • Currency: UK Pounds
  • Shares Issued: 16.45m
  • Volume: 7,531
  • Market Cap: £330.65m
  • RiskGrade: 164

Investment performance underpins quarterly growth for Brooks Macdonald

By Josh White

Date: Wednesday 17 Apr 2024

LONDON (ShareCast) - (Sharecast News) - Brooks Macdonald updated the market on its funds under management on Wednesday, reported a closing figure of £17.9bn at the end of March, marking a 2% increase from 31 December.
The AIM-traded firm said that during the quarter, it experienced robust gross inflows of £0.5bn.

However, gross outflows were elevated, reaching £0.8bn, which the board put down to prevailing macroeconomic factors such as high interest rates and inflation.

That resulted in net outflows of £0.3bn, or 1.7%.

Nonetheless, a positive investment performance of £0.6bn, or 3.7%, mitigated the impact of outflows and contributed to the overall increase in funds under management.

The company noted the expansion of Platform MPS during the quarter, including BM Investment Solutions, which grew to £4.2bn with net new business accounting for 1.7% of opening funds under management.

On the other hand, Brooks Macdonald experienced net outflows in its BPS segment, amounting to £0.2bn or 2.3%, as clients withdrew funds for debt repayment or held higher cash balances due to prevailing interest rates.

Within the UK BPS segment, the Decumulation specialised product saw significant growth of 9% during the quarter.

The board said the product offers a solution to meet income requirements while protecting portfolios from early withdrawal downturns.

Despite slightly underperforming the benchmark, investment performance for the quarter stood at 3.7%, primarily due to a higher allocation to bonds, which underperformed equities in the period.

Looking ahead, Brooks Macdonald anticipated its underlying profit for the year to align with market expectations.

The group said it was aiming to continue realising cost benefits from organisational changes announced in October, while maintaining a focus on operational excellence.

However, despite positive demand for products and services, particularly in specialised BPS products and Platform MPS, the group said it expected net outflows for the full year due to ongoing market trends and client behaviour.

The strategic review of its International operations was meanwhile progressing, with outcomes expected to be communicated later in the year.

"Today we report that funds under management increased to £17.9bn over the course of the quarter, as markets responded to the improving macroeconomic outlook," said chief executive officer Andrew Shepherd.

"We have also seen encouraging flows in our Platform MPS and specialist BPS propositions demonstrating continued demand for our broad product range."

However, Shepherd noted that interest rates were still high, placing continuing pressure on clients, with the company focussed on meeting their needs through its solutions and client service.

"I remain confident in our future opportunity."

At 0820 BST, shares in Brooks Macdonald Group were up 0.41% at 1,835p.

Reporting by Josh White for Sharecast.com.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

BRK Market Data

Currency UK Pounds
Share Price 2,010.00p
Change Today 0.000p
% Change 0.00 %
52 Week High 2,240.00
52 Week Low 1,590.00
Volume 7,531
Shares Issued 16.45m
Market Cap £330.65m
RiskGrade 164

BRK Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
1.71% above the market average1.71% above the market average1.71% above the market average1.71% above the market average1.71% above the market average
70.37% below the sector average70.37% below the sector average70.37% below the sector average70.37% below the sector average70.37% below the sector average
Price Trend
36.24% above the market average36.24% above the market average36.24% above the market average36.24% above the market average36.24% above the market average
17.24% above the sector average17.24% above the sector average17.24% above the sector average17.24% above the sector average17.24% above the sector average
Income
48.36% above the market average48.36% above the market average48.36% above the market average48.36% above the market average48.36% above the market average
31.34% below the sector average31.34% below the sector average31.34% below the sector average31.34% below the sector average31.34% below the sector average
Growth
70.41% below the market average70.41% below the market average70.41% below the market average70.41% below the market average70.41% below the market average
30.28% below the sector average30.28% below the sector average30.28% below the sector average30.28% below the sector average30.28% below the sector average

What The Brokers Say

Strong Buy 2
Buy 3
Neutral 1
Sell 1
Strong Sell 0
Total 7
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

BRK Dividends

  Latest Previous
  Interim Final
Ex-Div 14-Mar-24 21-Sep-23
Paid 16-Apr-24 03-Nov-23
Amount 29.00p 47.00p

Trades for 13-Jun-2024

Time Volume / Share Price
11:37 245 @ 2,036.80p
10:44 117 @ 2,036.80p
09:14 4,330 @ 2,010.00p
09:55 300 @ 2,010.00p
09:14 2,272 @ 2,010.00p

BRK Key Personnel

CFO Andrea Montague
Chair Maarten Slendebroek

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