Schroders delivered a “robust” business performance during the first six months of the year with net income lower but not decimated by Covid-19.
Net income for the first half stood at £1.003 billion, which compares with £1.032 billion in the same period last year.
The firm said its diversified business model and investments in technology made over several years had helped.
Reporting profit before tax of £306.2 million (a 10% decrease from last year’s H1 figure) and net inflows of £38 billion (last year’s H1 period saw over £1 billion in outflows), Peter Harrison, chief executive, said no employees had been furloughed or made redundant and that no government assistance had been taken globally.
However, the business did see outflows from retail mutual funds of £4.8 billion driven by equity redemptions. Outflows extended to the company’s GAIA Ucits-compatible hedge fund range, but private assets and alternatives saw “ongoing client demand”.
Schroders is also to pay an interim dividend of 35p per share, the same as last year.
Overall, assets under management grew 5% to £525.8 billion.
© 2020 funds europe