George Frangeskides, Exec-Chair at Alba Mineral Resources, discusses grades at the Clogau Gold Mine. Watch the full video here.

Less Ads, More Data, More Tools Register for FREE
Stefan Bernstein explains how the EU/Greenland critical raw materials partnership benefits GreenRoc
Stefan Bernstein explains how the EU/Greenland critical raw materials partnership benefits GreenRocView Video
Utilico Insights - Jacqueline Broers assesses why Vietnam could be the darling of Asia for investors
Utilico Insights - Jacqueline Broers assesses why Vietnam could be the darling of Asia for investorsView Video

Latest Share Chat

Close Brothers Says Loan Book, Client Assets And Winterflood Deals Up

Thu, 21st Jan 2021 09:43

(Alliance News) - Close Brothers Group PLC said recent trading has been promising, with the Winterflood unit helped by "favourable market movements" and as loan volumes increased due to boosted demand for UK government Covid-19 business support schemes

In the five months ended December 31, the merchant bank's loan book rose 6.5% to GBP8.1 billion from GBP7.6 billion at the end of July.

Close Brothers said its banking arm saw "strong demand for loans issued under the UK government support scheme".

The Common Equity Tier 1 capital ratio improved to 14.8% from 14.1% at the end of July.

In the asset management unit, total client assets at December 31 improved to GBP15.0 billion from GBP13.7 billion at the end of July.

It means that total client assets are back above levels since in January 2020, shortly before being hit by Covid-19. Client assets at January 31 were GBP14.0 billion but dropped to GBP13.0 billion on April 30.

Managed assets rose by 10% to GBP13.9 billion from GBP12.6 billion.

The rise in assets the five months to December was helped by "favourable market movements", Close Brothers explained, together with net inflows of 5.4%.

"Winterflood delivered a very strong trading performance, benefiting from a further acceleration in market activity in recent months and the expertise of our traders," the company added.

Winterflood, the company's stock brokerage, has seen a substantial rise in year-to-date operating profit, Close Brothers said.

Average daily bargains stood at 92,000 during the five months to December, up from 82,000 at the same point a year earlier.

Close Brothers Chief Executive Officer Adrian Sainsbury said: "We have delivered a strong performance year to date, with the positive trends reported at the end of the first quarter continuing.

"Although the external environment remains highly uncertain, with national lockdown restrictions currently in place, our proven model and significant experience leave us well positioned."

Close Brothers shares were 3.7% higher at 1,472.00 pence each in London on Thursday morning.

The company posts results for the six months ended January 31 on March 16.

By Eric Cunha; ericcunha@alliancenews.com

Copyright 2021 Alliance News Limited. All Rights Reserved.

Related Shares

More News
22 Mar 2024 14:57

Directors dealings: Close Brothers Group non-exec picks up some shares

(Sharecast News) - Sally Williams, a non-executive director at Close Brothers Group, picked up some shares in the UK merchant banking group.

20 Mar 2024 16:53

London close: Stocks mixed ahead of Fed, BoE decisions

(Sharecast News) - London markets closed with a mixed but little-changed performance on Wednesday, as investors digested a larger-than-expected slowdo...

20 Mar 2024 09:31

Berenberg lifts Close Brothers target as regulatory risks reduce

(Sharecast News) - Shares in Close Brothers Group continued to surge on Wednesday after the merchant bank's first-half results in which the company ea...

19 Mar 2024 16:23

London close: Stocks mixed as Japan ends negative rate policy

(Sharecast News) - London markets closed with a mixed performance on Tuesday, as investors weighed the implications of Japan's decision to end negativ...

19 Mar 2024 11:52

LONDON MARKET MIDDAY: European markets flat ahead of Fed and BoE

(Alliance News) - Stock prices in London were down at midday on Tuesday, as investors sat on their hands ahead of interest rate decisions from the UK ...

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.