Specialist bank and asset manager Investec (INVP) delivered a robust performance in the year to end March, boosted by lower impairment levels and a strong inflow of funds on the asset management side. Profits would have been even higher but for a 13 per cent drop in the rand which trimmed profits generated in South Africa.
The asset and wealth management operations - designed to generate another revenue stream away from core banking - now accounts for 44 per cent of group profits. With the benefit of more benign conditions in financial markets, net funds inflows of £4.1bn helped drive assets under management up from £61.6bn to £69.8bn, and adjusted operating profits 4.8 per cent higher to £140m. The wealth management unit was particularly strong, pushing operating profits up almost a third to £50.7m, assisted by the successful integration of Williams de Broё.