Close AM sees return to profit in 2013 after restructuring

Close Brothers has reported a 2% rise in full-year pre-tax profits and expects its asset management division to return to profitability next year as it completes a restructuring.

The group reported pre-tax profits of £134.2m, up 2%, with strong growth in its banking division offsetting weakness in its securities unit. Meanwhile, it said it has made "significant strategic progress" in asset management, where the adjusted operating loss narrowed from £8.6m last year to £4.3m in 2012. "Asset Management is now in a position to move into profitability during the course of the 2013 financial year and, subject to market conditions, we currently expect the division to achieve an operating margin of at least 15% by the 2015 financial year," the group said. Assets un...