Investec Asset Management has seen its funds under management pass £100bn for the first time, the firm announced in its final results today.
For the year ending 31 March, Investec's asset and wealth management businesses saw net inflows of £7.3bn, which it said contributed to higher average funds under management, alongside favourable market levels.
Third party assets under management increased 6.5% to £160.6bn, up from £150.7bn in 2017, while customer accounts increased 6.5% to £31bn, up from £29.1bn in 2017.
The group said it has continued to invest into the business, "positioning itself for further growth across its client franchise businesses and ensuring that it remains competitive and relevant in the markets in which it operates".
Statutory operating profit increased 1.4% to £607.5m, up from £599.1m in 2017 but a decrease of 3.5% on a currency neutral basis, while statutory adjusted earnings per share increased 10.1% from 48.3 pence to 53.2 pence - an increase of 4.1% on a currency neutral basis.
Ongoing operating profit increased 5.6% to £701m, up from £663.7m, an increase of 1.2% on a currency neutral basis, and ongoing adjusted EPS increased 13.3% from 54.1 pence to 61.3 pence - an increase of 8.1% on a currency neutral basis.
The board has proposed a final dividend of 13.5 pence per ordinary share, equating to a full year dividend of 24 pence, up from 23 pence in 2017.
Stephen Koseff, chief executive officer at Investec, said: "Operating performance during the year was underpinned by sound growth in loans and funds under management and a solid recurring income base, despite a challenging backdrop in South Africa and the UK.
"The Wealth & Investment and Asset Management businesses generated substantial net inflows, with Asset Management exceeding £100bn of funds under management for the first time. The Specialist Bank continued to see good client acquisition in its core franchise businesses, which we have built and developed over a number of years."
In February Investec announced that Hendrik du Toit, founding CEO of Investec Asset Management, is to become co-CEO of the wider Investec Group from 1 October, with John Green and Mimi Ferrini to become joint-CEOs of the asset management business.
The changes are part of a succession plan initially announced in November 2015, with Stephen Koseff, chief executive officer of the Investec Group, Bernard Kantor, managing director, stepping down from their roles on 1 October, becoming executive directors until 31 March 2019 and then becoming non-executive directors.
Glynn Burger, risk and finance director, will retire on 31 March 2018 but will become non-executive director for certain subsidiaries.
"We have implemented an orderly succession plan and feel confident that we are handing over a business that is well placed to continue to grow both its market position and profitability over the foreseeable future," Koseff added.
Bernard Kantor, managing director at Investec, said: "Over the last 40 years we have been building a platform that is capable of being leveraged for further growth. Investec is now a meaningful player across many business areas, both in the UK and South Africa, and we believe the platform is robust, relevant and well positioned for future value creation.
"We are confident that Hendrik du Toit and Fani Titi, as joint chief executives from October, will lead Investec to new successes for the benefit of shareholders and all our stakeholders."
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