Brewin Dolphin inflows boosted in discretionary push

Brewin Dolphin has reported a 4.2 per cent rise in discretionary funds for the final quarter of 2013, in line with the plan to focus its business on discretionary services.

In its interim management statement for the final quarter of 2013 Brewin Dolphin reveals that discretionary funds also saw £300m of new inflows which is said to fit with the group’s 5 per cent per annum target.

Brewin Dolphin says the rise in discretionary business comes as part of its increased focus on discretionary services and away from advisory services.

Due to switches to non-trail paying funds, Brewin’s non-core income fell 41 per cent to £5.9m in the first quarter, down from £9.9m in 2013.

“The strategy of focusing on our discretionary service whilst completing the remaining reviews of advisory services is reflected in the ongoing organic growth in discretionary funds and net outflows from advisory funds,” it says.

Outflows from advisory services continued during the final quarter in line with expectations, according to Brewin Dolphin. It also adds that these outflows were matched by a “successful rate of conversion to a discretionary managed service”.

Brewin Dolphin’s managed and advised funds combined increased by 2.5 per cent overall in the quarter to £28.9bn from £28.2bn at the end of the previous quarter.

The group’s total funds under management, including execution-only services, increased to £36m at the end of December 2013, up from £34.9m per cent for the third quarter.