DFM, wealth manager and Chartered Financial Planner Brooks Macdonald has seen investment performance offset by net outflows, leaving funds under management down 1.9%, in its first quarter of their financial year.

Investment performance was up 1.7% for the period but was offset by net outflows of £261m for the quarter.

Funds under management were down 1.9% to £13.65bn.

The majority of the outflows for the DFM business came from the Managed Portfolio Service, which was down 1.9% to £1.8bn, and UK funds which reduced 3.4% to £2bn. The largest contributor to the reduction in MPS funds under management was the exit of a single £90m mandate which moved from discretionary to advisory.

Caroline Connellan, CEO of Brooks Macdonald said: “The first quarter of our financial year has been in line with expectations. I am pleased with the strong investment performance we delivered, continuing to protect our clients’ wealth, as well as positive flows in International as we continue to reinvigorate the business. Our vision for Brooks Macdonald is as the leading investment manager for intermediaries, and we look forward with confidence.”

Last financial year which ended in June 2020, the DFM, wealth manager and Chartered Financial Planner reported an 11.1% increase in underlying profit before tax to £23m for the year. Over the year, discretionary funds under management rose 4.1% from £13.1bn in 2019. 

The firm made several acquisitions during its last financial year. In November 2019 Brooks snapped up Edinburgh-based firm Cornelian Asset Management in a £39m deal. 

Whilst Brooks is predominantly known for its DFM and investment management business, it has a growing Financial Planning division and is a Chartered Financial Planning Firm.