Quarterly Announcement of Funds under Management

About this update from Brooks Macdonald Group Plc

Document Title 16 October 2024   BROOKS MACDONALD GROUP PLC   Quarterly Announcement of Funds under Management     Brooks Macdonald Group plc ("Brooks Macdonald" or the "Group") today publishes a trading update and its quarterly announcement of Funds under Management ("FUM") for the first quarter of its financial year ending 30 June 2025.   Andrea Montague, CEO of Brooks Macdonald commented: " Our business has shown resilience through improved client retention across all our UK propositions.   The considerable speculation around the upcoming Budget and rumoured changes to taxation and reliefs has clearly had an impact on investor confidence with lower gross inflows in the quarter.   Our recently announced acquisitions of LIFT and Lucas Fettes demonstrate the pace at which we are delivering on our strategy, to reignite growth focusing on client service, reach, scale, and efficiency. I remain confident about unlocking the full potential of Brooks Macdonald."   Quarterly Announcement of Funds under Management [1] During the first quarter of the financial year, the Group saw net outflows of £0.1 billion (Q4 FY24: £0.1 billion), representing 0.7% of Funds under Management, as uncertainty around the Budget led to a reduction in gross inflows, down 6.0% quarter on quarter.   MPS Platform, including the Group's B2B offering for financial advisers, BM Investment Solutions ("BMIS"), grew to £4.6 billion (30 June 2024: £4.4 billion) with annualised organic net new business in the quarter of 13.0% of opening FUM.   Encouragingly, gross outflows were down 5.1% quarter on quarter, marking their second sequential reduction.   The net outflows were offset by positive investment performance in the quarter resulting in the Group's closing FUM increasing to £17.9 billion (30 June 2024: £17.8 billion). Analysis of FUM net flows by service over the quarter (ex DCF)   Quarter to 30 September 2024 (£m)   Opening FUM 1 Jul 24 Organic net new business Investment performance in the period Closing FUM 30 Sep 24 Organic net new business Total mvmt BPS 8,880 (176) 131 8,835 (2.0)% (0.5)% MPS Custody 974 (26) 13 961 (2.7)% (1.3)% MPS Platform 4,367 142 45 4,554 3.3% 4.3% MPS total 5,341 116 58 5,515 2.2% 3.3% Funds 1,323 (51) 14 1,286 (3.9)% (2.8)% UK total 15,544 (111) 203 15,636 (0.7)% 0.6% International 2,262 (16) 25 2,271 (0.7)% 0.4% Total 17,806 (127) 228 17,907 (0.7)% 0.6%     Analysis of FUM gross flows by service over the quarter (ex DCF)     Gross inflows Gross outflows Q4 FY24 Q1 FY25 Q1 vs Q4 Inc/(Dec) Q4 FY24 Q1 FY25 Q1 vs Q4 Inc/(Dec) BPS 185 160 (13.5)% (343) (336) 2.0% MPS Custody 21 14 (33.3)% (46) (40) 13.0% MPS Platform 325 311 (4.3)% (190) (169) 11.1% MPS total 346 325 (6.1)% (236) (209) 11.4% Funds 52 43 (17.3)% (102) (94) 7.8% UK total 583 528 (9.4)% (681) (639) 6.2% International 34 52 52.9% (64) (68) (6.3)% Total 617 580 (6.0)% (745) (707) 5.1%       Enquiries:   Brooks Macdonald Group plc Andrea Montague, CEO & CFO                        [email protected]   Singer Capital Markets Advisory LLP            +44 (0) 20 7496 3000 (Nominated Adviser and Joint Broker) Charles Leigh-Pemberton/James Moat   Investec Bank plc (Joint Broker)                    +44 (0) 20 7597 5970 Christopher Baird/David Anderson   FTI Consulting (Media Enquiries)                                     [email protected] Edward Bery/Katherine Bell                               +44 (0) 7703 330199/+44 (0) 7976 870961       About Brooks Macdonald   Brooks Macdonald is one of the UK's leading wealth management firms, recognised for investment performance and client service. The company offers leading multi asset investment services to intermediaries and high-quality financial planning advice to private clients, benefitting from a strong local presence across the UK. Brooks Macdonald Group plc was founded in 1991, began trading on AIM in 2005, and had discretionary FUM of £17.9 billion as of 30 September 2024.   Forward-looking statements This announcement may include statements, beliefs or opinions that are, or may be deemed to be, "forward-looking statements". These forward-looking statements may be identified by the use of forward-looking terminology, including the terms "believes", "estimates", "plans", "projects", "anticipates", "targets", "aims", "continues", "expects", "intends", "hopes", "may", "will", "would", "could" or "should" or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events or intentions. No representation or warranty is made that any of these statements or forecasts will come to pass or that any forecast results will be achieved. Forward-looking statements may and often do differ materially from actual results. Any forward-looking statements contained in the announcement speak only as of their respective dates, reflect Brooks Macdonald's current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to Brooks Macdonald's business, results of operations, financial position, liquidity, prospects, growth and strategies. Except as required by any applicable law or regulation, Brooks Macdonald expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained in this announcement or any other forward-looking statements it may make whether as a result of new information, future developments or otherwise.   LEI: 213800WRDF8LB8MIEX37   www.brooksmacdonald.com / @BrooksMacdonald           [1] All FUM numbers exclude the Defensive Capital Fund ("DCF") following the announced disposal to RM Capital Markets Limited in September. During Q1 FY25, DCF recorded net outflow of £94 million and investment performance of £10 million resulting in closing FUM of £138 million as at 30 September 2024.  

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