# Brewin Dolphin Holdings Plc Remain confident in their business model, strategy and long-term growth

- Link: https://www.directorstalkinterviews.com/brewin-dolphin-holdings-plc-remain-confident-in-their-business-model-strategy-and-long-term-growth/412765225
- Published: 2019-01-23T07:24:37+00:00
- Author: Charlotte Edwards

**Brewin Dolphin Holdings Plc** (LON:BRW) announced a trading update for the first
quarter of the financial year ending 30 September 2019.

> **David Nicol, Brewin Dolphin Chief Executive said:**
> “The first quarter has been characterised by lower market levels and ongoing macro-
> economic uncertainty. Against this backdrop, net discretionary inflows have remained
> strong and ahead of our 5% target, albeit intermediary client activity has slowed
> whilst intermediaries and their clients assess the current environment. Challenging
> market conditions reinforce the value Brewin Dolphin offers clients and we remain
> confident in our business model, strategy and long-term growth prospects. We will
> continue to invest selectively to build the business and retain a disciplined 
> focus on operating expenses.”

**Q1 Highlights**

· During this quarter the MSCI Private Investor Balanced Index fell by 7.9% and 
the [FTSE 100](https://www.directorstalkinterviews.com/news/ftse-100) Index fell
by 10.4%.

· Against this backdrop, total funds reduced by 7.7% to £39.5bn (FY 2018: £42.8bn)
and discretionary funds reduced by 7.2% to £34.9bn (FY 2018: £37.6bn) driven by 
lower market levels.

o Discretionary net flows, including transfers, were £0.5bn (Q1 2018: £0.7bn) in
line with the last quarter of FY 2018 representing an annualised growth rate of 
5.3%, ahead of our 5% per annum target.

o Direct net flows, including transfers, of £0.2bn continue the positive overall
trend seen in FY 2018 and are in line with both Q1 and Q4 2018.

o MPS net flows were £0.2bn, an annualised growth rate of 26.7%.

o Intermediaries net flows were £0.1bn.

· Total income was £77.7m (Q1 2018: £79.0m), a decrease of 1.6%.

o Core income1 of £75.6m (Q1 2018: £76.2m) fell by 0.8%.

o Total discretionary income was £66.5m (Q1 2018: £67.3m), a decrease of 1.2%.

o Financial planning income grew 3.3% to £6.2m (Q1 2018: £6.0m).

1 Core income is defined as income derived from discretionary investment management,
financial planning, Brewin Portfolio Service (BPS) and execution only services.

 

 

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