Income at Abrdn dropped by virtually a fifth final yr as the top of the greater than decade-long bull market deepened the challenges going through the UK asset supervisor.
Led by former Citigroup govt Stephen Chicken, Abrdn suffered web outflows of £10.3bn final yr, largely from its equities companies. Property beneath administration fell by 8 per cent to £500bn.
Chicken mentioned 2022 was “one of many hardest investing years in dwelling reminiscence”, noting that the “enterprise is continuous to simplify and cut back prices”.
In consequence, working revenue on the firm fell to £263mn final yr, down 19 per cent from 2021. The autumn was pushed by a decline in funding revenues, though the squeeze on income was smaller than analysts anticipated.
Abrdn final yr acquired Interactive Investor for £1.5bn, which Chicken mentioned had boosted its presence within the UK financial savings and wealth market. Interactive Investor reported web income of £176mn, up almost 40 per cent, and doubled working revenue to £94mn.
Chicken restructured the enterprise, merging or closing 58 funds and appointing Peter Branner as chief funding officer.
The corporate additionally mentioned that it was trying to promote its discretionary fund administration arm and that it was contemplating additional small acquisitions.