Quilter boasts steady third quarter performance
DURBAN – Quilter, which was unbundled from Old Mutual plc in 2018, said yesterday that its performance in the third quarter to end September was steady as it saw net inflows of £1.2 billion (R25.63bn), up 500 percent compared to the same quarter last year.
The wealth management business posted year-to-date net inflows of £1.2bn compared to £200 million net outflow last year.
Chief executive Paul Feeney said they were pleased with the substantial year-on-year improvement in net flows despite a more challenging market backdrop.
“Gross flows were broadly stable and outflows relating to the departure of a specific team in Quilter Cheviot reduced to £31m in the quarter from £615m in the third quarter of 2019.
“As expected, third quarter net flows were seasonally weaker than the first half of the year, due to the Covid-19 induced economic slowdown, our planned platform migration in the final quarter and the re-emergence of Brexit related concerns towards the end of the quarter,” Feeney said.
The group’s assets under management and administration (AuMA) amounted to £109.5bn at the end of September. Feeney said both period end AuMA of £109.5bn and average AuMA of £106.2bn were ahead of the June 2020 closing positions of £107.4bn and £105.1bn respectively.
He said this was supported by good investment performance from their Wealth Select and Cirilium Active ranges in the second and third quarter.
The group’s third quarter gross sales amounted to £2.7bn compared to £2.8bn reported in the same quarter last year.
The group said its Quilter Investment Platform transformation project remained on track with around 80 percent of platform assets to be migrated by year-end, while major second migration confirmed with advisers and clients to be completed in the last weekend of November.
Its capital return programme continued with £130m of the announced share buyback of up to £375m completed as at close of business on October 16.
By the end of October 16, the group repurchased 100.34 million shares.
Quilter shares closed 1.80 percent lower at R27.30 on the JSE on Wednesday.