Close Brothers AM Eyes Acquisitions As Hiring Spree Drives Inflows Surge

Annualised inflows were up slightly from 9% during the 2023 financial year, although the asset manager noted the hiring strategy "continues to impact CBAM's cost base in the near term".

CBAM has been a beneficiary of the exodus from Investec Wealth & Investment this year, hiring a raft of investment professionals who have departed the firm since news of its takeover by rival Rathbones was announced in April.

Close Brothers AM restructures senior investment leadership

In a trading statement published today (16 November), CBAM reported a decrease in managed assets from £16.4bn in the quarter to the end of July to £16.2bn in the three months to the end of October.

Total assets decreased to £17bn, down from £17.3bn in the previous quarter, due to "unfavourable" market movements.

At Winterflood, a weakening of investor appetite and market uncertainty has continued to impact performance, as the business reported an operating loss of £2.5m during the period.

Close Brothers AM continues poaching streak from Investec W&I

Chief executive Adrian Sainsbury said the group's market-facing businesses were impacted by "unfavourable" market conditions.

"CBAM delivered strong net inflows, at the top end of our target range, helped by our hiring strategy. At Winterflood, performance was impacted by further weakening of investor appetite but we remain well placed for any recovery," he said. 

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