Slide 1: 2016 Q1 Results Data Pack
Schroders 2016 Q1 Results Data Pack April 2016
Slide 2: Contents
Contents Page Assets under management (AUM) 2 Regional diversification of AUM 3 Gross sales and net flows 4-5 Currency profile of AUM 6 AUM diversification 7-9 Asset Management AUM – detailed asset class analysis 10-12 Asset Management AUM flows 13-14 Net operating revenue and margins – Asset Manage
Slide 3: Assets under management (AUM)
Assets under management (AUM) £324.9 billion at 31 March 2016 £bn Institutional Intermediary Asset Management Wealth Management Total 1 January 2016 181.0 100.9 281.9 31.6 313.5 Net flows 4.5 (1.8) 2.7 - 2.7 Investment returns 5.3 3.0 8.3 0.4 8.7 Transfers* (0.9) - (0.9) 0.9 - 31 March 2016 189.9 10
Slide 4: Regional diversification of AUM
Regional diversification of AUM 63% of net operating revenues outside UK UK £130.7bn Continental Europe £59.2bn North America £35.1bn Asia Pacific £83.3bn Middle East & Africa £9.2bn South America £7.4bn 3 Schroders 2016 Q1 Results | 28 April 2016
Slide 5: Gross sales
Gross sales £bn 30.0 25.6 23.0 21.3 19.9 20.0 15.6 10.0 0.0 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Equities Fixed Income Multi-asset Emerging Market Debt, Commodities & Real Estate Wealth Management 4 Schroders 2016 Q1 Results | 28 April 2016
Slide 6: Net flows
Net flows £bn 10.0 5.1 4.7 5.0 3.7 2.7 0.0 (0.5) (5.0) Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Equities Fixed Income Multi-asset Emerging Market Debt, Commodities & Real Estate Wealth Management 5 Schroders 2016 Q1 Results | 28 April 2016
Slide 7: Currency profile of AUM
Currency profile of AUM Assets under management £324.9 billion 10% 2% 2% 29% 3% 4% 5% 6% 12% 27% GBP USD EUR AUD JPY CNY HKD TWD CHF Other* * Includes the following currencies which individually constitute 1% of AUM: KRW, IDR, INR, SGD, BRL, CAD, THB, SEK 6 Schroders 2016 Q1 Results | 28 April 2016
Slide 8: Total AUM by channel, region and product
Total AUM by channel, region and product Assets under management £324.9 billion By channel By region* By product 10% 13% 10% 4% 40% 41% 31% 26% 25% 59% 21% 20% Equities Institutional UK Fixed Income Continental Europe, Middle East & Africa Multi-asset Intermediary Asia Pacific Emerging Market Debt,
Slide 9: Asset Management AUM by channel and product
Asset Management AUM by channel and product Institutional AUM £189.9bn Intermediary AUM £102.1bn 6% 3% 21% 40% 31% 54% 22% 23% Equities Fixed Income Multi-asset Emerging Market Debt, Commodities & Real Estate 8 Schroders 2016 Q1 Results | 28 April 2016
Slide 10: Asset Management AUM by channel and region
Asset Management AUM by channel and region* Institutional AUM £189.9bn Intermediary AUM £102.1bn 11% 16% 26% 41% 29% 28% 34% 15% UK Continental Europe, Middle East & Africa Asia Pacific Americas * By client domicile 9 Schroders 2016 Q1 Results | 28 April 2016
Slide 11: Asset Management AUM – detailed asset class analysis
Asset Management AUM – detailed asset class analysis Assets under management £292.0 billion Emerging Market Debt, Commodities Equities £131.8bn Fixed Income £65.8bn Multi-asset £80.8bn and Real Estate £13.6bn Asia Pacific 18% US 33% Risk controlled growth 40% Real estate 74% Quantitative equities 15
Slide 12: Institutional AUM – detailed asset class analysis
Institutional AUM – detailed asset class analysis Assets under management £189.9 billion Emerging Market Debt, Commodities Equities £76.2bn Fixed Income £43.1bn Multi-asset £59.6bn and Real Estate £11.0bn Quantitative equities 24% US 45% Risk controlled growth 38% Real estate 79% Emerging markets 16
Slide 13: Intermediary AUM – detailed asset class analysis
Intermediary AUM – detailed asset class analysis Assets under management £102.1 billion Emerging Market Debt, Commodities Equities £55.6bn Fixed Income £22.7bn Multi-asset £21.2bn and Real Estate £2.6bn Asia Pacific 22% Europe 41% Risk controlled growth 46% Real estate 56% Europe 18% Global 22% Inco
Slide 14: Institutional
Institutional Assets under management: £189.9 billion £bn 15.0 10.4 10.6 10.0 9.3 7.4 4.9 5.3 5.0 4.5 2.0 1.6 0.0 (0.1) (5.0) (5.0) (5.1) (5.8) (6.1) (7.3) (10.0) Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Gross inflows Gross outflows Net flows 13 Schroders 2016 Q1 Results | 28 April 2016
Slide 15: Intermediary
Intermediary Assets under management: £102.1 billion £bn 20.0 14.7 15.0 13.9 9.6 9.5 10.0 8.4 5.0 2.9 1.9 0.0 (0.2) (0.3) (1.8) (5.0) (10.0) (8.7) (9.8) (11.8) (12.0) (11.3) (15.0) Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Gross inflows Gross outflows Net flows 14 Schroders 2016 Q1 Results | 28 April
Slide 16: Net operating revenue and margins – Asset Management
Net operating revenue and margins – Asset Management Asset Management Net operating revenue £335.8 million FY 2015 YTD Q1 2015 YTD Q1 2016 Performance fees - £m 35.7 1.7 0.5 Performance fees on average AUM 1 bps 0 bps 0 bps Net operating revenue (ex performance fees) - £m 1,357.7 337.6 335.3 Net ope
Slide 17: Income statement progression: Asset Management
Income statement progression Asset Management profit before tax £m Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Institutional 152.7 156.3 146.5 173.2 152.7 Intermediary 186.6 197.3 192.6 188.2 183.1 Net operating revenue 339.3 353.6 339.1 361.4 335.8 Net gains/(losses) on financial instruments and other
Slide 18: Income statement progression: Wealth Management
Income statement progression Wealth Management profit before tax £m Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Net operating revenue 52.4 53.3 51.9 49.7 51.9 Net (losses)/gains on financial instruments and other income (0.2) - (0.1) 0.2 0.1 Net revenue 52.2 53.3 51.8 49.9 52.0 Operating expenses (37.3)
Slide 19: Income statement progression: Group segment
Income statement progression Group segment (loss)/profit before tax £m Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Net operating revenue - - - - - Net gains on financial instruments and other income 6.7 5.2 7.2 11.0 8.0 Share of profit of associates* 1.2 5.7 1.0 0.8 1.8 Net revenue 7.9 10.9 8.2 11.8 9.8
Slide 20: Cost and return metrics
Cost and return metrics Total Schroders Group costs ► Compensation cost:net revenue ratio 2015 Q1 2015 Q1 2016 = compensation costs divided by net revenues** Compensation cost: 44% 45% 45% net revenue ratio* ► Cost:net revenue ratio Headcount 3,784 3,611 3,807 = costs divided by net revenue Total co
Slide 21: Movement in capital
Movement in capital £m 2016 1 January 2016 2,795.6 Profit before tax and exceptional items 144.5 Exceptional items (6.6) Net movement arising from AFS financial assets (4.9) Exchange differences on translation of foreign operations after hedging 36.3 Tax (22.6) Own shares purchased (41.2) Share-base
Slide 22: Group capital allocation
Group capital allocation Increase of £129 million as at 31 March 2016 December Q1 £m 2015 2016 Regulatory capital 653 653 Other operating capital 253 167 Investment capital* 942 1,110 Seed capital 229 253 Other** 719 742 Statutory Group capital 2,796 2,925 * Includes RWC Partners Limited and Schrode