Cautious optimism at Rathbone

Wealth management firm Rathbone said 2010 finished on a buoyant note, capping a year in which the company saw a surge in funds under management in 2010.Total funds under management as at 31 December 2010 were £15.63bn, up 19.3% from £13.10bn as at 31 December 2009.Funds managed by Rathbone Investment Management were £14.59bn at the end of 2010, up 20.0% from £12.16bn a year earlier. This compares to a 9.0% increase in the FTSE 100 index and a 9.3% increase in the FTSE APCIMS Balanced Index over the same period.Acquired inflows of funds under management into Rathbone Investment Management totalled £0.60bn in the year, up from £0.55bn the year before; when added to net organic growth this represents a net annual growth rate of 10.2% (2009: 12.5%).The underlying annualised rate of net organic growth in funds under management in Rathbone Investment Management was 5.3% in 2010, down from 6.7% in 2009. Funds managed by Rathbone Unit Trust Management rose to £1.04bn from £0.94bn at the end of 2009, an increase of 10.6%. Total net fund inflows were £18.3m in the fourth quarter of 2010."2010 ended on a more buoyant note with the UK equity market reaching a year's high," the company statement noted. "Provided that the deficit reduction measures now being implemented in the UK and elsewhere do not precipitate a 'double-dip' recession, Rathbones can look forward with cautious optimism," the company added. Rathbone