Paul Stockton, Group Chief Executive Officer of Rathbones, said: 

“Rathbones reached a major milestone in April 2025, successfully migrating 90% of Investec Wealth & Investment (IW&I) client accounts onto the Rathbones platform. This marks significant progress in the integration of IW&I and, while there is still work to do, the Group remains on track to complete the migration of remaining clients by the end of the second quarter as planned.

In a quarter that witnessed some considerable market turbulence, the Group saw net outflows, primarily due to a lower level of gross inflows as the final stages of the migration process impacted IW&I in particular. Rathbones Asset Management’s single strategy funds and multi-asset funds saw elevated outflows as a result of ongoing market volatility. This reflected the broader industry trend of weaker flows into equity, fixed interest and multi-asset funds, with flows leaning more towards money-market funds in the quarter.

Market volatility reinforces the enduring value of long-term, relationship-led wealth management, and creates opportunities for asset managers, but sustained volatility can also impact revenue and profitability. Wealth management FUMA valuations and fee income calculations at the end of the quarter coincided with a moment of particular market weakness. This heightens the need for our ongoing cost discipline, and whilst we continue to invest to support growth opportunities and deliver synergy benefits, we will be looking to manage operational cost levels actively to mitigate these effects on profitability as much as possible.

The foundations for future growth are strong, and I look forward to welcoming Jonathan Sorrell when he joins us in July, securing a smooth leadership transition that continues to support our clients and colleagues as we look towards the next chapter for the Group.”

Financial highlights:

• FUMA declined 4.7% to £104.1 billion at the quarter end (31 December 2024: £109.2 billion). This comprised Rathbones Investment Management (RIM) FUMA at 4 April and FUMA for the remainder of the Group at 31 March and reflected market volatility.
  • £88.7 billion in the Wealth Management segment (31 December 2024: £93.4 billion).
  • £15.4 billion in the Asset Management segment (31 December 2024: £15.8 billion).
  • Over 50% of Wealth Management fees were billed on 4 April, when markets had fallen approximately 4.6% since 31 March.
• Gross inflows totalled £2.7 billion in the first quarter (Q4 2024: £3.2 billion), reflecting the impact of the focus on migration activity, which was at its peak during the quarter. Outflows totalled £3.5 billion (Q4 2024: £3.4 billion) in the period.
  • Net inflows in RIM discretionary & managed propositions remained positive in the first quarter at £62 million, (Q4 2024: £395 million), representing an annualised growth rate of 0.4% for the quarter. Outflows included a large lower margin account.
  • Net outflows in Investec Wealth & Investment UK (IW&I) remained consistent at £425 million (Q4 2024: net outflows of £409 million), as the reduction in gross inflows was offset by a reduction in IW&I’s gross outflows of 15.5% relative to Q4 2024.
  • Single strategy funds within the Asset Management segment, which was already facing a challenging market for active managers, were further affected by recent market turmoil, resulting in net outflows of £265 million in the first quarter (Q4 2024: outflows of £98 million). This was despite performance in our largest funds remaining in the first or second quartile across 1, 3 and 5 years.
• Despite the challenging market backdrop, the Group's total operating income remained resilient, totalling £220.1 million for the quarter (Q1 2024: £223.6 million). While there was a decline in fee-based income, this was primarily driven by market volatility at the time of client billing. As anticipated, transaction-based commission income in March 2025 was notably flatter than normal, reflecting a more muted seasonal spike due to the higher level of client portfolio activity that arose ahead of the 2024 Autumn Budget. Net interest income grew modestly; however, income for the first quarter does not reflect the contribution from IW&I interest income relating to client money deposits, which remained within other income for Q1 and will be recognised as net interest income, along with the related revenue synergy disclosed previously, from the point of migration of client assets in Q2.
• Synergy delivery has increased to £30.4 million per annum on an annualised run-rate basis, with the majority of the remaining cost synergies expected to materialise in H2, following the completion of the migration in H1.

Download detailed financial information in our full statement (PDF)

AGM and Interim results dates:

Annual General Meeting

The Annual General Meeting (AGM) will be held today, 8 May, at 9:00am at our London head office at 30 Gresham Street, London, EC2V 7QN. Similar to last year, the Board has made arrangements to enable members to attend and participate in the meeting electronically should they wish to do so. Instructions on how to attend and participate electronically are set out in the Notice of AGM.

Interim results

The interim results for the six months to 30 June 2025 will be announced on 30 July 2025. 

For further information contact:

Investors

Paul Stockton, Group Chief Executive Officer
Iain Hooley, Group Chief Financial Officer
Shelly Patel, Head of Investor Relations 

Tel: 020 7399 0071
Email: shelly.patel@rathbones.com 

Press

Tessa Curtis, Director of Corporate Communications & Affairs

Tel: 07833 346238
Email: tessa.curtis@rathbones.com 

Camarco

Ed Gascoigne-Pees

Tel: 020 3757 4984
Email: ed.gascoigne-pees@camarco.co.uk