St James's Place  

SJP reports £10.3bn inflows

SJP reports £10.3bn inflows

St. James's Place has announced full-year net inflows of £10.3bn as it admitted inflows weakened in the fourth quarter against difficult market conditions.

The wealth management group today issued an update on new business inflows and funds under management for the 12 months ended December 31, 2018.

Net inflows in the final quarter were £2.6bn and £10.3bn for the year, an increase of 8 per cent over the previous 12 months and equivalent to 11 per cent of opening funds under management. 

However, the group said its clients and advisers were not immune to difficult external market factors and, whilst the quarter began strongly, inflows weakened in the final two months.

Total funds under management were negatively impacted by lower global investment markets, closing the period at £95.6bn, up 5 per cent since the beginning of the year.

UK equities took a slight hit, with the group having £17.7bn of these types of assets under management, down from £19.3bn in 2017.

However, the group reported a strong retention of client funds at 96 per cent.

The number of qualified advisers at the company also increased to 3,954, up 8 per cent year-on-year.

Andrew Croft, chief executive at St. James's Place, said: "Against the particularly difficult market conditions that prevailed in the final quarter and compared to an exceptional outcome in 2017, I am pleased to report another good set of results that demonstrate the resilience of our business. 

"However, our clients and advisers are not immune to such external market factors and, whilst the quarter began strongly, inflows weakened in the final two months resulting in gross inflows for the fourth quarter of £3.95bn.

"This was a robust performance, though slightly lower than our record fourth quarter last year, and resulted in full-year gross inflows of £15.7bn, which represents growth of 8 per cent over 2017."

Earlier this week SJP announced it had hired Emma Hunt to lead its responsible investment team and that it was to develop its offering in the field.

Dippy Singh is a freelance reporter for FTAdviser