Old Mutual Wealth has posted strong net client cash flows of £1.8bn for Q1 2016, an increase of 80% on the same time last year (Q1 2015: £1.0bn).
Gross sales increased by 17% to £5.4bn (Q1 2015: £4.6bn), primarily driven by strong sales into the firm’s investment division and the UK platform.
Funds under management (FUM) increased by 3% since the start of the year to £107.1bn (Q4 2015: £104.4 billion), primarily driven by strong net client cash flows growth. UK platform FUM was £35.4bn (Q4 2015: £34.5bn), with gross flows of £1.6bn (Q1 2015: £1.4bn) and net flows of £0.7bn (Q1 2015: £ 0.6bn). Old Mutual Global Investors’ FUM increased by 5% to £26bn (Q4 2015: £24.7bn) and Quilter Cheviot’s FUM increased to £18bn (Q4 2015: £17.8bn).
Paul Feeney, chief executive of Old Mutual Wealth, said: “We have achieved strong net client cash flows notwithstanding the volatile market conditions. We have also seen strong pensions sales in Q1 2016 as we continue to benefit from the introduction of pension freedoms in the UK last year.”
The firm pointed that it’s vertically integrated strategy of owning distribution, an investment platform, discretionary fund management and asset management contributed to the delivery of the song net results.
Old Mutual Wealth is a wealth management business based in the UK and internationally, with adviser and customer offerings spanning: financial advice delivered by the Intrinsic network in the UK and AAM Advisory in Singapore, platform based wealth management products and services delivered by Old Mutual Wealth in the UK and Old Mutual International globall
It also houses asset management solutions delivered by Old Mutual Global Investors and discretionary investment management delivered by Quilter Cheviot.
Old Mutual Wealth is part of Old Mutual plc a FTSE 100 group that provides life assurance, asset management, banking and general insurance to more than 18.9m customers across the world and has a total of £327.9bn assets under management (as at 31 December 2015).