Wealth and asset manager Mattioli Woods outlined what it described as a “resilient” performance in its H1 trading update, despite recording a 2% drop in group assets under management (AUM).
Group AUM ended the six-month period to 30 November 2022 at £14.6bn, a drop of £300m from 31 May.
Market sentiment weighed heavily on the firm’s investments, as discretionary AUM dropped by £200m to £4.9bn. This was in spite of £38.1m of net inflows.
As of 31 May 2022, £1.1bn of the firm’s AUM was managed by the group’s associate Amati Global Investors, however this dipped to £924m during the six months.
On the discretionary side, Mattioli Woods experienced £314m of gross inflows, a figure that was down by more than 18% on the £385m that flowed in during the same period a year earlier.
Company revenue was still up 10% on H1 2022, at £54.9m, but the rate of increase was down substantially on the 72.8% jump in revenues that occurred across the firm’s full financial 2022.
Despite the AUM slide, CEO Ian Mattioli (pictured) said the group had delivered creditable revenue and profit before tax growth despite the backdrop of persistent economic and political complexities.
He cited the nine successful acquisitions that the group made since July 2020, adding that all are trading in-line with or ahead of budget, and have delivered earnings to support full payment of any further considerations.
As of the beginning of 2022 the firm had made 30 acquisitions, with four more added over the last year.
Mattioli added: “Consolidation within the wealth management, pensions administration, asset management and financial planning sectors continues apace, and we continue to assess a strong pipeline of potential acquisition opportunities, with a disciplined approach, where all transactions are required to meet our strict investment criteria.”
The company’s complete interim results will be released on 7 February.
