Alliance Trust Investments adds £22m in first quarter

Alliance Trust Investments boosted its total assets under management by £22m in the three months ended 31 March, taking its total managed to just more than £2.2bn.

Most of Alliance Trust Investments’ funds – £1.8bn – is run on behalf of third parties.

The fund flows were driven by purchases of the £60.7m Alliance Trust Dynamic Bond and £331.2m Monthly Income Bond funds.

Meanwhile, the Alliance Trust Savings platform business added more than £300m in the first quarter of this year, putting total assets under administration at £5.7bn.

Alliance Trust PLC, the parent that is also a self-managed investment trust, gave a total shareholder return of 0.9 per cent over the first three months of the year.

It delivered a total return of 22.7 per cent for the year to 31 March.

The company has total assets of £3.221m with 13.4 per cent gearing. Its discount is 10.7 per cent.

Alliance Trust chief executive Katherine Garrett-Cox says the trust has performed strongly.

She was pleased with the increase in Alliance Trust Investments’ growth, as well as the flourishing Alliance Trust Savings platform business, which has trebled intermediary business since March last year.

The platform business is now self-funding and profitable, she adds.

Prices for dealing accounts and ISAs were hiked 56 per cent in February, while Sipps went up by 15 per cent. Meanwhile other services were incorporated into the flat fee structure, making the pricing more transparent, the firm says.

“The platform is well positioned to benefit from the changing savings landscape and the requirements of the Retail Distribution Review.”

The Alliance Trust investment trust bought into Continental AG, Toyota, Petrofac and Eato Group in the first quarter. It raised the money by taking profits in Samsung, BorgWarner, Hyunda, BNP Paribas and Citigroup.