St James's Place were down 4% in mid-afternoon trading after third-quarter net inflows fell well short of forecasts.
Panmure Liberum, the broker, said net inflows of £0.57 billion were down 68% on a year earlier and 35% below consensus of £0.88 billion.
Abid Hussain, analyst at Panmure Liberum, said pensions drove the miss.
Gross inflows of £5.15 billion were 1% below consensus and down 10% on the year, against a strong comparison boosted by activity around the new charging structure.
Net inflows equate to annualised flows of 0.9% of opening funds under management in the quarter, which Hussain noted is seasonally quieter.
Year to date, the figure is 2.0%, at the lower end of the 2% to 3% range management has referred to.
Stronger than expected market returns lifted funds under management to £242 billion, up 14% on a year ago and in line with consensus.
Budget impact
Hussain said the Chancellor's U-turn on cutting the Cash ISA allowance to £12,000 was marginally negative, because more savings are likely to stay in cash rather than move into investment products.
He said leaving the private pension framework unchanged was welcome, as it gives savers confidence to plan for retirement.
Rating
Panmure Liberum kept its Buy rating and 1,600p price target.
Hussain said the shares trade on about 10 times two-year forward earnings, a rating that fails to reflect the high profit visibility as funds under management unwind out of gestation.
Gestation is the period in which new business is still bearing upfront costs before it contributes fully to profit.
