Last checked at 22 Oct 2019 07:00
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ST. JAMES'S PLACE plc
27 St. James's Place, London SW1A 1NR
Telephone 020 7493 8111
PRESS RELEASE
22 October 2019
ST. JAMES'S PLACE WEALTH MANAGEMENT
CONTINUED STRONG NET INFLOWS DRIVE FUNDS UNDER
MANAGEMENT TO A RECORD £112.8 BILLION
St. James's Place plc ("SJP"), the wealth management group, today issues an update on new business inflows and funds under management for the three months ended 30 September 2019.
Q3 2019 | Q3 2018 | |
£'Billion | £'Billion | |
Gross inflows | 3.74 | 3.83 |
Net inflows | 2.11 | 2.47 |
Closing Funds under Management | 112.82 | 100.59 |
Funds under management retention rate (annualised) | 96.0% | 96.2% |
Net inflows/opening funds under management (annualised) | 7.7% | 10.2% |
Andrew Croft, Chief Executive, commented:
"I am pleased to report another good quarter for St. James's Place. In the three months to the end of September, new and existing clients entrusted us with £3.74 billion of new funds. Through the excellent work of our Partners and their staff in building and maintaining close relationships with clients, we are also able to report continued strong retention, resulting in net inflows for the quarter of £2.11 billion, equivalent to 7.7% of opening funds under management on an annualised basis. These positive inflows helped increase funds under management to a record £112.8 billion, some 18% higher year to-date. In what remains an uncertain external environment, these figures once again highlight the resilience of our business model and the outstanding role our Partners and support staff play in providing for trusted, long-term financial advice to our clients.
While political and macro-economic uncertainty may affect the pace of some discretionary investment flows from time to time, it has no bearing on the continuing need for holistic, long-term financial planning. Indeed, we see demand for sound, personal and trusted financial advice growing while at the same time the 'advice gap' remains.
I take great pride in the scale and professionalism of the St. James's Place Partnership and I am confident that our comprehensive and distinct client proposition, which is highly valued by our clients, means we are well positioned to continue to grow over the medium to long-term."
The details of the announcement are attached.
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Enquiries:
Andrew Croft, Chief Executive Officer | Tel: 020 7514 1963 |
Craig Gentle, Chief Financial Officer | Tel: 020 7514 1963 |
Tony Dunk, Investor Relations Director | Tel: 020 7514 1963 |
Jamie Dunkley, External Communications Director | Tel: 020 7514 1963 |
Brunswick Group: Tom Burns/Eilis Murphy |
Tel: 020 7404 5959 |
Email: sjp@brunswickgroup.com | |
Contents
1. Funds under Management
2. Analysis of Funds under Management
3. Gross Inflow Figures
4. EEV Net Asset Value per Share
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1. Funds under Management
Three Months Ended 30 September 2019 | Investment | Pension | UT/ISA & DFM | Total | |||
£'Billion | £'Billion | £'Billion | £'Billion | ||||
Opening funds under management | 30.08 | 48.16 | 31.08 | 109.32 | |||
Gross inflows | 0.58 | 2.17 | 0.99 | 3.74 | |||
Net investment return | 0.36 | 0.72 | 0.31 | 1.39 | |||
Regular income withdrawals and maturities | (0.16) | (0.35) | - | (0.51) | |||
Surrenders and part surrenders | (0.26) | (0.34) | (0.52) | (1.12) | |||
Closing funds under management | 30.60 | 50.36 | 31.86 | 112.82 | |||
Net inflows | 0.16 | 1.48 | 0.47 | 2.11 | |||
Implied surrender rate as a percentage of average funds under management | 3.4% | 2.8% | 6.6% | 4.0% |
Included within "UT/ISA & DFM" are closing funds under management of £2.80 billion and within the quarter, gross inflows of £0.14 billion and outflows of £0.03 billion in relation to the Rowan Dartington Group funds under management.
Not included within Group funds under management is a further £442 million of funds under management in third party funds within our Asia business.
Three Months Ended 30 September 2018 | Investment | Pension | UT/ISA & DFM | Total | |||
£'Billion | £'Billion | £'Billion | £'Billion | ||||
Opening funds under management | 28.89 | 39.84 | 27.88 | 96.61 | |||
Gross inflows | 0.55 | 2.23 | 1.05 | 3.83 | |||
Net investment return | 0.37 | 0.85 | 0.29 | 1.51 | |||
Regular income withdrawals and maturities | (0.12) | (0.30) | - | (0.42) | |||
Surrenders and part surrenders | (0.24) | (0.27) | (0.43) | (0.94) | |||
Closing funds under management | 29.45 | 42.35 | 28.79 | 100.59 | |||
Net inflows | 0.19 | 1.66 | 0.62 | 2.47 | |||
Implied surrender rate as a percentage of average funds under management | 3.3% | 2.6% | 6.1% | 3.8% |
Included within "UT/ISA & DFM" are closing funds under management of £2.42 billion and within the quarter, gross inflows of £0.14 billion and outflows of £0.03 billion in relation to the Rowan Dartington Group funds under management.
Not included within Group funds under management is a further £438 million of funds under management in third party funds within our Asia business.
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Nine Months Ended 30 September 2019 | Investment | Pension | UT/ISA & DFM | Total | |||
£'Billion | £'Billion | £'Billion | £'Billion | ||||
Opening funds under management | 27.62 | 40.72 | 27.21 | 95.55 | |||
Gross inflows | 1.65 | 6.31 | 3.16 | 11.12 | |||
Net investment return | 2.56 | 5.20 | 2.96 | 10.72 | |||
Regular income withdrawals and maturities | (0.43) | (0.96) | (0.02) | (1.41) | |||
Surrenders and part surrenders | (0.80) | (0.91) | (1.45) | (3.16) | |||
Closing funds under management | 30.60 | 50.36 | 31.86 | 112.82 | |||
Net inflows | 0.42 | 4.44 | 1.69 | 6.55 | |||
Implied surrender rate as a percentage of average funds under management | 3.7% | 2.7% | 6.6% | 4.1% |
Included within "UT/ISA & DFM" are closing funds under management of £2.80 billion, gross inflows of £0.44 billion and outflows of £0.11 billion in relation to the Rowan Dartington Group funds under management.
Nine Months Ended 30 September 2018 | Investment | Pension | UT/ISA & DFM | Total | |||
£'Billion | £'Billion | £'Billion | £'Billion | ||||
Opening funds under management | 28.31 | 36.15 | 26.29 | 90.75 | |||
Gross inflows | 1.76 | 6.59 | 3.40 | 11.75 | |||
Net investment return | 0.49 | 1.31 | 0.36 | 2.16 | |||
Regular income withdrawals and maturities | (0.37) | (0.89) | - | (1.26) | |||
Surrenders and part surrenders | (0.74) | (0.81) | (1.26) | (2.81) | |||
Closing funds under management | 29.45 | 42.35 | 28.79 | 100.59 | |||
Net inflows | 0.65 | 4.89 | 2.14 | 7.68 | |||
Implied surrender rate as a percentage of average funds under management | 3.4% | 2.8% | 6.1% | 3.9% |
Included within "UT/ISA & DFM" are closing funds under management of £2.42 billion, gross inflows of £0.41 billion and outflows of £0.08 billion in relation to the Rowan Dartington Group funds under management.
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2. Analysis of Funds under Management
The following table provides an analysis of the funds under management at 30 September split by geography and asset type:
30 September 2019 | 30 September 2018 (1) | ||||||
£'Billion | % of total | £'Billion | % of total | ||||
North American Equities | 24.4 | 22% | 21.0 | 21% | |||
Fixed Interest | 20.5 | 18% | 17.9 | 18% | |||
UK Equities | 19.3 | 17% | 18.6 | 19% | |||
European Equities | 13.4 | 12% | 10.5 | 10% | |||
Asia & Pacific Equities | 12.8 | 11% | 10.6 | 10% | |||
Alternative Investments | 9.1 | 8% | 7.6 | 8% | |||
Cash | 6.8 | 6% | 7.0 | 7% | |||
Property | 3.0 | 3% | 3.1 | 3% | |||
Other | 3.5 | 3% | 4.3 | 4% | |||
Total | 112.8 | 100% | 100.6 | 100% | |||
(1) The geographical and investment type analysis of FUM for 30 September 2018 has been restated to better reflect the nature of the underlying investment types.
3. Gross Inflow Figures
Unaudited 3 Months to 30 September | Unaudited 9 Months to 30 September | ||||||
2019 | 2018 | 2019 | 2018 | ||||
£'Billion | £'Billion | £'Billion | £'Billion | ||||
Gross inflows | |||||||
Investment | 0.58 | 0.55 | 1.65 | 1.76 | |||
Pension | 2.17 | 2.23 | 6.31 | 6.59 | |||
Unit Trust and ISA | 0.99 | 1.05 | 3.16 | 3.40 | |||
3.74 | 3.83 | -2% | 11.12 | 11.75 | -5% | ||
4. EEV Net Asset Value per Share
The net asset value on the European Embedded Value basis at 30 September 2019 was approximately 1,260 pence per share after the payment of the 18.49 pence per share interim dividend on 27 September 2019.