Brooks Macdonald Group (BRK)

Sector:

Financials

Index:

FTSE AIM 50

2,050.00p
   
  • Change Today:
    -10.00p
  • 52 Week High: 2,125.60
  • 52 Week Low: 1,367.50
  • Currency: UK Pounds
  • Shares Issued: 13.96m
  • Volume: 331
  • Market Cap: £286.12m
  • RiskGrade: 142
  • Beta: 0.39

Brooks Macdonald FUM pressurised by turbulent market conditions

By Duncan Ferris

Date: Thursday 24 Jan 2019

LONDON (ShareCast) - (Sharecast News) - Brooks Macdonald on Thursday reported that market volatility had led to a reduction in its funds under management over the past six months.
The investment manager said discretionary funds under management fell from £12.4bn in June 2018 to £11.9bn at the end of December, which also constituted a drop of 4.5% since the same point last year, as it stated that "both markets and client sentiment became weaker as a result of the macroeconomic and political uncertainty".

Negative investment performance wiped almost £800m from funds under management, while a reduction in quarterly net inflows to £83m constituted an annualised rate of 2.6% of opening assets under management.

With profits set to fall in-line with previous forecasts but revenues facing "short-term pressure", the AIM traded company said it is looking to streamline the business to the tune of annualised savings of approximately £4m and make it easier for advisers to do business with the firm.

Caroline Connellan, chief executive of Brooks Macdonald, said: "The fundamental opportunity for our business remains strong. I am confident that the strength of our client and adviser relationships, coupled with the investment we are making in our offering, position us well to capture future growth. The efficiency measures that we recently announced combined with ongoing cost discipline will help deliver greater value from this opportunity."

Shore Capital said Brooks Macdonald's drop in assets under management was comparable to the 7.7% and 6.8% hits taken at respective competitors Brewin Dolphin and the Investment Management division of Rathbone Brothers and added that it did not recant its 11 January upgrade of the company to a 'buy' rating.

"One of the main reasons for our recommendation upgrade, in combination with the beaten-up share price, was that many of the issues that have impacted the investment case over the last couple of years now appear to largely in the past and the cost efficient announcement, while no doubt painful for the individuals being made redundant, are a sign that a relatively new management team can now start to look forward."

Brooks Macdonald's shares were down 3.47% at 1670p at 0908 GMT.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

BRK Market Data

Currency UK Pounds
Share Price 2,050.00p
Change Today -10.00p
% Change -0.49 %
52 Week High 2,125.60
52 Week Low 1,367.50
Volume 331
Shares Issued 13.96m
Market Cap £286.12m
Beta 0.39
RiskGrade 142

BRK Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
10.97% below the market average10.97% below the market average10.97% below the market average10.97% below the market average10.97% below the market average
49.3% below the sector average49.3% below the sector average49.3% below the sector average49.3% below the sector average49.3% below the sector average
Price Trend
72.76% above the market average72.76% above the market average72.76% above the market average72.76% above the market average72.76% above the market average
73.15% above the sector average73.15% above the sector average73.15% above the sector average73.15% above the sector average73.15% above the sector average
Income
70.89% below the market average70.89% below the market average70.89% below the market average70.89% below the market average70.89% below the market average
81.18% below the sector average81.18% below the sector average81.18% below the sector average81.18% below the sector average81.18% below the sector average
Growth
63.63% below the market average63.63% below the market average63.63% below the market average63.63% below the market average63.63% below the market average
82.11% below the sector average82.11% below the sector average82.11% below the sector average82.11% below the sector average82.11% below the sector average

What The Brokers Say

Strong Buy 4
Buy 0
Neutral 3
Sell 0
Strong Sell 0
Total 7
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

BRK Dividends

  Latest Previous
  Final Interim
Ex-Div 26-Sep-19 21-Mar-19
Paid 08-Nov-19 23-Apr-19
Amount 32.00p 19.00p

Trades for 21-Oct-2019

Time Volume / Share Price
09:48 119 @ 2,050.00p
09:47 119 @ 2,050.00p
08:01 93 @ 2,125.60p

BRK Key Personnel

Finance Director Simon Jackson
COO Jason Wood
Chair Alan Thomas Carruthers

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