UK's Quilter secures 1Q inflows and promises dividend

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UK's Quilter secures 1Q inflows and promises dividend

Quilter saw its assets under management and administration (AuMA) slipped to £95.3bn during the first quarter of 2020, 8% lower than 1Q2019 as negative market movements more than offset positive net inflows.

In a trading statement published this morning, Quilter said it had seen net inflows of £500m in the three months to 31 March, the same number as in the corresponding quarter in 2019, despite plunging markets.

CEO Paul Feeney (pictured) said that while lower AuMA levels would hit revenues, "the vast majority of our revenues are recurring by nature", with its "capital and cash levels are in a strong position".

Quilter has a robust business model and the fundamentals that underpin our investment proposition remain strong."

As a result, Quilter confirmed its board would recommend payment of the final 2019 dividend at its May AGM. That follows the completion of the first tranche of its share buyback programme, which amounted to around £28m and finished at the end of March.

"We have various capital and cost levers that can be utilised as a response to further financial market stresses, if required," Feeney added.

"Quilter has a robust business model and the fundamentals that underpin our investment proposition remain strong.

"We operate in a large market with secular growth potential, people still need to save for their retirement and they need trusted financial advisers to help guide and support them on that journey. I am confident we will emerge from this crisis in good shape and even more connected to our customers, our advisers and ourselves."

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