Brewin Dolphin attracts record fund inflows amid strong performance

Wealth manager drew in £4bn of capital in the year to the end of September

Pedro Gonçalves
clock • 2 min read
Brewin Dolphin reported a jump in full-year earnings driven by record inflows
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Brewin Dolphin reported a jump in full-year earnings driven by record inflows

Brewin Dolphin reported record discretionary gross flows of £4bn as total funds increased by 19.5% to £56.9bn, driven by positive net flows and strong investment performance.

The wealth manager reported strong total discretionary net flows of £1.9bn for the year ended 30 September 2021, which represents an annualised growth rate of 4.6%. It also attracted discretionary net flows of £0.5bn from direct clients and £1.4bn from indirect clients, of which £1bn flowed into its MPS solution and multi-asset Voyager fund range.

Total funds surged 19.5% over the last 12 months to £56.9bn as total discretionary funds jumped 20.9% to £49.8bn, pushed by positive net flows and strong investment performance.

The total income for the period increased by 12.3% to £405.9m, driven by strong market performance and record discretionary gross inflows.

Brewin Dolphin total funds surpass pre-Covid highs

Robin Beer, chief executive, said: "We have had an exceptional year achieving record discretionary inflows and are delivering on our growth ambitions. None of this would have been possible without our people, who have adapted so effectively to remote working and continue to focus on putting our clients at the centre of all their decision making. We have remained relevant by continuing to innovate our propositions whilst also developing our digital capabilities.

"We have started to drive operational efficiencies through our client management system and our new custody and settlement system is now live."

Both 1762 from Brewin Dolphin and the Wealth Core propositions performed well, driving a 25.7% growth to £41.6m in its financial planning income.

"Looking ahead to FY 2022, our priority is to complete the final phased rollout of functionality for our new custody and settlement system, which will complete in summer 2022. On completion, with our new technology capabilities coupled with the operational excellence programme, we expect to capture significant synergies and benefits across the business, supporting our vision to deliver double digit earnings per share growth by 2025.

Dividend cuts at Brewin Dolphin as growth slows in final quarter

"We remain focused on becoming the leading advice-focused digitally enabled wealth manager in the UK and Ireland, which we believe will allow us to benefit from sector growth and capture market share," Beer added.

The company's statutory pre-tax profit rose 16.7% to £72.5m and the final dividend per share is up 12.1% to 11.1p, taking total to 15.7p per share.

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