Brooks Macdonald Group , the wealth management group with offices in Edinburgh, has increased its funds under management to a record £13.2 billion from £12.3 billion.
The company also increased profits by 11.8% to £21 million from £18.8 million, according to its audited results for the year ended 30 June 2019. Underlying profit margin is up from 18.8% to 19.6%, while positive organic growth or new business of 3.3% or £400 million contributed to an increase of 6.8%, or £800 million in funds under management to this new record.
Caroline Connellan, chief executive of Brooks Macdonald, said: “I am delighted that we continue to make good progress on our strategy, with underlying profit margin increased to 19.6% reflecting our commitment to improve margins in the medium-term. The actions we announced in January have started to streamline the business, deliver efficiencies and make Brooks Macdonald easier to do business with. Looking ahead, we expect to deliver improved margins in the medium term by investing in our talent and capabilities to drive growth while continuing to exercise tight cost discipline.
“Our net new business of 5.4% in UK Investment Management is again one of the best in the sector, reflecting the strength of our client and adviser relationships. This, coupled with robust investment performance, drove FUM to a new record of £13.2 billion at the year end.
“We remain cautious about the short-term outlook given the backdrop of political and macroeconomic uncertainty and its continuing effect on client sentiment. Nonetheless, the fundamental opportunity for Brooks Macdonald remains strong, and we are confident in our positioning and our continued ability to drive sustainable value-enhancing growth over the medium term.”