F&C warns of 'significant headwinds' as it posts £19bn net outflow

F&C Asset Management has warned it faces ‘signicant headwinds in the short term' following the loss of its strategic partnerships, as it urged shareholders to approve a £700m takeover deal.

In its results covering the full year to 31 December 2013, the asset manager reported a net inflow in its consumer and institutional business of £1.3bn, compared to a £1.9bn net outflow in 2012. However, this was dwarfed by a £20bn strategic partner outflow, leading to an overall group net outflow of £19bn for the year. Statutory profit after tax came in at £10.2m, against £2.6m the previous year, while group underlying profit was £69.2m, up from £51.9m. Net revenue was £241.2m, down from £243.5m in 2012, including a £10.8m reduction from strategic partners. F&C said it remains expos...