Attributing the decline to political and economic uncertainty, and their high exposure to both Europe and the equities markets, the firm’s profits for the year were £146.5m, compared with £159.2m in 2011.
The firm also experienced a fall in fee income, from £476.8m to £432.8m last year.
AUM increased by £1.6bn, and now stands at around £65bn, while falling employee compensation and benefits costs enabled the firm to make savings on its operating expenses.
Dividends of 5.05p per share, a 2% increase on returns from the previous year, will be paid to shareholders.
Going forward, the firm forecasts a good year for the Asian markets, provided they can disconnect from the wider global situation, while they believe the equities outlook also positive.
However, they are less positive about real estate, which is expected to remain at similar levels to 2012, while he “great rotation” is likely to impact fixed income negatively as the year goes on.