Latest news with #RaeMaile
The Independent
30-04-2025
- Business
- The Independent
Aberdeen assets contract as clients withdraw more than £5bn
Finance giant Aberdeen saw its assets shrink over the latest quarter as clients withdrew more than £5 billion amid volatile conditions in global financial markets. Shares in the company still made gains on Wednesday morning despite the reduction in assets. The asset management firm, which added vowels back to rebrand from Abrdn last month, revealed total assets under management of £500.1 billion for the quarter to March 31. It said this dropped from £511.4 billion over the past three months, as it was impacted by a net outflow of £5.2 billion. The company has come under pressure in recent months amid increased client outflow and has sought to reduce costs with rounds of job cuts. However, the firm highlighted improvement in its Interactive Investor (ii) platform business, which reported a net inflow of £1.6 billion for the quarter as it benefited from market volatility driving trading activity. Jason Windsor, chief executive of Aberdeen, said: 'Our strategy is to become the UK's leading wealth business and to reposition our investments business to areas of strength and market growth. 'So far this year, we have made good progress against these objectives, despite the current heightened levels of market uncertainty. 'Interactive investor has seen significant growth in new customers, and in trading volumes, which have risen to record levels during the recent period of market volatility.' Rae Maile, research analyst at Panmure Liberum, said: 'The company has delivered assets under management in line with our estimates but with some significant signs of promise for the future: activity levels at ii have been strong and customer acquisition has continued; adviser net outflows have slowed usefully on reduced redemptions; investments saw outflows as anticipated but has landed a material new mandate in April. 'The company has also reiterated its profit ambitions for full-year 2026, which remain ahead of our estimates, despite recent market volatility.' Shares moved 1.4% higher as a result.
Reuters
12-02-2025
- Business
- Reuters
UK's Close Brothers reserves $205 million for motor finance claims
Summary Companies Sets aside 165 mln pounds for potential claims Provision to reduce 2024 CET1 ratio to 12% Shares down 1% Feb 12 (Reuters) - Close Brothers (CBRO.L), opens new tab has set aside up to 165 million pounds ($205 million) to cover costs related to motor finance claims, the British lender said on Wednesday, the first time it has estimated the potential impact of a ruling on unlawful commissions. In what could become one of the UK's costliest consumer banking scandals, Britain's motor finance industry was found liable by the Court of Appeal in October for "hidden" commissions following an investigation into historic sales. Close Bros was granted permission to appeal the ruling in December. The provision announced on Wednesday is expected to reduce the company's CET1 ratio, a key measure of financial strength for lenders, to 12%, from the 13.5% it reported as of December 31. This would still come in significantly above the regulatory requirement of 9.7%. Close Bros shares slipped 1% to 361 pence by 0849 GMT having initially spiked at the opening. Expectations of a costly pay out are fizzling out as Britain's Finance Minister Rachel Reeves has urged regulators to eliminate barriers to growth by stopping "excessively" managing risk. The efforts of regulators are directed towards an outcome which does not end up with terminal risks for lenders, said Rae Maile, a Panmure Liberum analyst. Maile added that the lender's efforts to manage its capital through limiting lending, disposing of its wealth business, not paying a dividend and cutting costs helped cushion any impact. The London-based company expects its capital ratio to increase to about 13% by the end of this year, in-line with previous expectations. ($1 = 0.8030 pounds)
