Schroders has reported an £8.3bn net outflow for the first half of 2026, but total assets still hit a record £867.8bn due to investment performance in rising markets and currency movements.
The rise in assets under management helped lift operating income by 17% to £1.419bn.
Adjusted operating profit rose 46% year-on-year to £459.8m, and statutory profit before tax was up 102% to £396.8m.
The net outflow figure was heavily impacted by a single £6.6bn institutional net redemption. The net outflow including JVs and associates was £4.2bn.
The wealth management business recorded £2.5bn of net new business versus £2.7bn in the first half of last year. Cazenove Capital contributed £2bn to the figure, versus £1.4bn last year.
Total assets in wealth management increased by 5% to £129.8bn, while net operating revenue rose to £288.3m from £258.3m in the first half of 2025.
Much of the first half of the year took place in the context of the ongoing takeover of the firm by Nuveen.
Schroders said the deal remains on track to complete in the fourth quarter of 2026 having received the backing of shareholders, subject to regulatory approvals.
See also: The UK sectors outpacing the magnificent seven in 2026
Richard Oldfield, group chief executive (pictured), said: “We are seeing strong sales in many areas of our business and positive client sentiment towards our proposed combination with Nuveen.
“We have accelerated our transformation programme, delivering over 98% of our planned £150m annualised cost savings.
“This has helped reduce our adjusted cost to income ratio below 70%, achieving our target within the first 18 months of our three-year plan and contributing to a 46% increase in adjusted operating profit,” he continued.
“Although markets will remain unpredictable, our focus will be on continued execution of our strategic priorities, delivering improved, sustainable growth, and we are excited about the future potential of the combined business.”
