Acquisitions boost London wealth management firm's income by nearly £10m
A London wealth management company has reported that its income has increased by £13.5m for the first half of this financial year following recent acquisitions.
Brewin Dolphin, which provides discretionary wealth management, saw an 8.3 per cent growth in income compared to the first half of 2019, going from £162.3m to £175.8m.
The company has said that recent acquisitions, which include Investec Capital & Investments and Epoch Wealth Management, have contributed £9.3m to the total income.
Its net cash flows totalled £0.6bn, representing an annualised growth rate of 2.7 per cent.
However, it also said that it cannot be certain about its outlook for the rest of the year due to the ongoing pandemic and its financial effects.
David Nicol, chief executive of Brewin Dolpin, commented: “We were encouraged by our good performance in the first quarter with improving markets and positive discretionary net inflows, which strongly accelerated into the second quarter.
“Not surprisingly, the rapid spread of COVID-19 and the unprecedented reaction of the global markets, has negatively impacted the value of our clients’ funds and consequently our second quarter total income.
“We have a strong balance sheet with good cash generation, and a robust regulatory capital position, which will support us as markets recover and enable us to service the growing demand for financial advice in the UK and Ireland.
“We currently have no intention of participating in any Government schemes.
“We have prioritised the health and wellbeing of our employees by ensuring almost all are working from home and have implemented several internal initiatives to help balance caring for family and working remotely.
“In these volatile markets, it has never been more important to stay connected with our clients, and we continue to see increased demand for client engagement and financial advice, which we have been able to offer remotely through video, telephone and conference calls.
“We are pleased to see that the investment we have made in our IT infrastructure has enabled us to continue our operations with flexibility and resilience.”
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