Rathbones Group, the FTSE 250 wealth manager, attracted net inflows into its wealth management business for a second consecutive quarter, as funds under management and administration rose 7.2% year-on-year to £121.1 billion.
Total operating income for the nine months to 30 September rose 6.7% to £731.1 million, with the third quarter alone up 3% to £243.6 million.
Wealth management net inflows in the quarter were £24 million, a marked improvement on the £0.3 billion of net outflows recorded in the same period a year earlier.
The improvement came despite a voluntary pause on inflows from enhanced due diligence (EDD) clients and a cautious tone among clients ahead of the UK Autumn Budget.
Asset management saw net outflows of £425 million in the quarter, reflecting continued pressure on active equity funds in the UK retail market.
Rathbones said its regulatory programme, announced in June, remained on track, with targeted client reviews under way and no material client outflows attributable to the process.
The group expects to begin progressively lifting restrictions on existing EDD clients in the fourth quarter, with around two-thirds of affected funds reviewed by year-end.
The estimated cost of the programme through to mid-2028 remains unchanged at around £60 million net of expected insurance recoveries.
Chief executive Jonathan Sorrell said the group remained on track to meet its underlying operating margin target of 28.7% in the fourth quarter, leaving it well positioned for 2027.
