Schroders Reports H1 Profit Rise Despite £1bn Outflows

Schroders, the British asset manager, reported a mixed but overall positive performance in the first half of 2025, with net outflows of £1 billion compared to inflows of £3.9 billion the previous year, yet these outflows were lower than analyst expectations. The company saw a 7% increase in adjusted operating profit to £316 million, boosted by strong performances in its wealth management arm, which delivered £1.6 billion in net new business and increased assets under management to £145 billion. Despite challenges in its active stock and bond picking business due to competition from cheaper index trackers, Schroders benefited from strategic acquisitions and contract wins, including a £4 billion investment contract with St James Place. Efforts to improve efficiency through a three-year transformation plan have led to cost savings, with plans to cut £50 million this year, exceeding previous targets, though this included some redundancies. Schroders' overall assets under management stood at £776.6 billion at the end of June, slightly up from £758.4 billion in March, reflecting resilience amid market and currency headwinds. Meanwhile, France's SCOR SE posted a strong rebound to a net income of €226 million in Q2 2025, driven by improved performance across its business segments and a better combined ratio in property and casualty insurance.