British wealth manager Charles Stanley posted overall revenues of £33.8m for the first quarter of fiscal year 2017, down 12.5% compared to £38.6m a year ago.
The bank attributed the fall in revenue to sale last year of Charles Stanley Securities and Charles Stanley Financial Solutions, which were offloaded to focus on the firm’s core wealth management division.
For the quarter ended 30 June 2016, revenues in the core business dipped 6.9% to £33.8m from £36.3m in the prior-year quarter. The fall was driven by a reduction in trail commission, commission on bargains and interest turn, Charles Stanley said.
The company’s total funds under management and administration (FuMA) at the end of the quarter stood at £20.9bn, a rise of 2% from £20.5bn at 31 March 2016.
The FTSE 100 Index increased by 4.9% during the period, while the WMA Balanced Portfolio Index was up by 4.6%.
Charles Stanley CEO Paul Abberley said: “Overall FuMA increased by 2.0% from the start of the financial year and we have increased discretionary funds 4.3% to £9.8 billion. This has been achieved against a backdrop of market uncertainty leading up to the EU referendum vote.
“Stewardship of our clients’ assets is particularly important during uncertain times and we will continue to monitor carefully both the political and economic environment. At the same time, we will pursue our strategy of focusing on clients, delivering a holistic wealth management service and improving our operating margins across all our divisions.”