Brooks Macdonald reports positive net flows in March quarter

Investment manager Brooks Macdonald reported positive net flows of £0.4bn for the quarter ended 31 March on Thursday.

The AIM-traded company said that, despite market volatility, investment performance continued to be positive, resulting in a 3.5% increase in total funds under management to £16.8bn.

That represented a 7.2% increase in funds under management since the beginning of the financial year.

The board said the positive net flows were driven by Platform MPS, and within that, the company's business-to-business offering, BM Investment Solutions, which surpassed £1bn in funds under management for the first time.

It said the overall pipeline remained healthy, although market conditions were continuing to affect conversion times.

Brooks Macdonald said its underlying business performance was in line with recent guidance, subject to further market movements.

Group net flows for the quarter were equivalent to an annualised level of 9.2%, while the corresponding annualised figure for the nine months to 31 March was 6.1%, in line with full-year guidance given at the time of its interim results.

“I am delighted to report another strong quarter for Brooks Macdonald, despite market conditions, with net flows reaching a level last seen five years ago, demonstrating the ongoing success of our strategy in action,” said chief executive officer Andrew Shepherd.

“I am grateful to our clients, our network of intermediaries, and in particular our people, whose commitment and focus on our clients make these results possible.”

At 1323 BST, shares in Brooks Macdonald Group were flat at 1,800p.

Reporting by Josh White for Sharecast.com.