Close Brothers AUM stable at £9.7bn

Close Brothers Group’s quarterly results have shown the business expects to see opportunities to deliver growth at attractive margins in asset management.

Over the period from 1 August to 31 October, assets under management remained stable at £9.7bn as net inflows were offset by negative market movements.

The banking division’s loan book was up 2.3 per cent over the third quarter to £5.4bn, compared with £5.3bn at the end of July, with good demand in property and asset finance balanced by slower growth in motor finance.

Article continues after advert

Bosses said asset management continued to perform well despite the tough market backdrop. The revenue margin remained broadly stable on the prior financial year.

Overall, the group stated that it remained confident about delivering a good result for the 2015 financial year.

In July, former Cavanagh co-founders Andy Fay and Simon Redgrove left Close Brothers Asset Management. They had moved to Close Brothers in 2011 after it acquired the financial advice firm, Cavanagh, that the duo had set up in 1996.

Mr Fay will be replaced as head of wealth management by Andy Cumming, who is currently head of the firm’s wealth business in Scotland.