Standard Life Aberdeen assets rise in Q1

Asset manager Standard Life Aberdeen reported an increase in first-quarter assets on Tuesday as it got a boost from Virgin Money.

Assets under management and administration ticked up 3% to £568.9bn as at 31 March 2019, helped by positive market movements. SLA said gross inflows were lifted by £3.5bn of assets from Virgin Money, with whom it is launching a joint venture.

Meanwhile, net outflows continued to be concentrated in a small number of strategies. AUMA also benefited from the acquisition of Asia-based real estate manager Orion Partners, which added £0.7bn of assets.

Numis said AUMA were slightly ahead of the £561bn it had forecast, with about half of the £7.9bn difference to its forecast being due to the earlier-than-expected impact of the Virgin Money JV and the "tiny" acquisition of Orion.

"We still think SLA offers value on a sum-of-the-parts basis, with future catalysts including further disposals of non-operating assets, the ongoing efficiency program, greater focus on the growing (and potentially high value) platform business and possible long-term operating business recovery," it said.

At 0850 BST, the shares were up 0.5% at 259.30p.