Standard Life Aberdeen profit drops but AuM rise
Asset manager Standard Life Aberdeen posted a drop in first-half profit on Wednesday but also a decline in outflows and a rise in assets under management.
Abrdn
141.15p
17:05 25/04/24
Financial Services
13,969.36
17:09 25/04/24
FTSE 100
8,078.86
17:14 25/04/24
FTSE 350
4,434.34
17:09 25/04/24
FTSE All-Share
4,387.94
16:49 25/04/24
Pre-tax profit fell to £280m from £311m in the first half of 2018, reflecting lower revenue partly offset by a drop in operating expenses and the inclusion of its share of the adjusted profit of its associate business, Phoenix, during the period.
Assets under management edged up 5% to £577.5bn, thanks to lower redemptions and "better markets", with assets on its platforms up 11% to £66bn. In addition, net flows improved to £15.9bn from £24bn in the second half of 2018 and £16.9bn in the first half of last year. Despite an improvement in investment performance, SLA said demand for equities remains low across the wider market and it continues to see elevated equity net outflows.
Chief executive officer Keith Skeoch said: "We have made good progress in reshaping our business so that it is set up to take advantage of the trends impacting our industry both globally and in the UK. We are encouraged by an improvement in our investment performance and a growing number of strategies with positive ratings from investment consultants. We are seeing inflows that are more diverse and are pleased to have retained £35bn of Lloyds Banking Group assets.
"With a strong balance sheet, our drive for efficiency and ability to invest in innovation, technology and our people, we are well placed to deliver value and sustainable returns for our shareholders."