Schroders fails to please investors despite selling £5bn more funds
Blue-blooded fund manager Schroders yesterday reported record half-year profits but saw shares dip after falling short of analysts’ profit expectations.
The FTSE 100 group, led by the former boss of Morgan Grenfell Michael Dobson, said pre-tax profits excluding exceptionals for the six months ending June rose to £261.5m – 15 per cent higher than last year’s figures.
This was despite the firm losing out on £18m due to the strong pound, it added.
Shares fell 4.4 per cent after the £.4.8bn of products it sold to customers during the period failed to live up to expectations. Analysts were hoping inflows would be about 20 per cent higher.
Almost all of the inflows – around £4bn – came from so-called multi-asset fund products, which are a mixture of stocks, bonds and other assets.
Assets under management at the group now total £271.5bn.