F&C warns of drop in revenues ahead of acquisition by BMO

F&C has warned investors that its revenues will be lower than expected this year, ahead of its planned takeover by Canadian giant Bank of Montreal.

The firm issued the warning yesterday, revealing outflows and lower than average assets under management have impacted revenues. It said in a statement: "As a result of lower average AUM in the second half of 2013, revenues are expected to be lower than the first half of the year. "Underlying operating costs in the second half of 2013 are expected to be marginally lower than the first half of the year." F&C said assets under management fell to £82bn by the end of last year, down from £90bn in the third quarter. The drop was caused by strategic partner net outflows of £10.4bn. Th...