Rathbones has reported stable results in the first half of 2025 as the firm integrated client data and assets from the acquisition of Investec Wealth & Investment (IW&I).

The firm’s funds under management and administration (FUMA) fell slightly from £109.2bn at the end H1 2024 to £109bn at the end of June 2025.

This comprised of £93.2bn in its wealth management segment, or £99.4bn prior to the elimination of wealth management FUMA invested in its asset management segment of £6.2bn, and £15.8bn in its asset management segment.

Net outflows rose year-on-year from £600m to £1bn, which Rathbones said reflected the impact of client migration activity.

Its net outflows in Q1 2025 were £800m, falling to £200m in the second quarter of the year, while flows in its wealth management segment were broadly neutral in Q2 after net outflows of £500m in Q1.

The firm’s underlying profit before tax fell from £112.1m at the end of June 2024 to £107.7m at the end of H1 2025, which Rathbones said largely reflected the market volatility seen at the end of Q1 2025.

It expected its full-year 2025 results to be in line with market forecasts, supported by a stronger starting FUMA position in H2 2025 and “increasing synergy benefits”.

Rathbones’ statutory profit before tax also fell year-on-year, from £65.3m to £62.3m, after recognising amortisation of client relationship intangible assets of £22.2m and integration-related costs of £23.2m.

The wealth manager also revealed that its board had approved an on-market ordinary share buyback programme of up to £50m, subject to regulatory approval.

“The first half of 2025 marked a pivotal phase for Rathbones, as we successfully completed the planned client and asset migration of IW&I,” commented Rathbones group CEO, Paul Stockton.

“This milestone increased run-rate synergies to £47.2m as at 30 June 2025 and set the stage for the remaining synergies to be delivered in the second half of the year as we continue to realise further benefits of operating as a single, larger business.

“Our ability to combine personalised financial advice, investment, and wealth management services with the scale and resilience of a larger group is proving ever more relevant as increasing numbers of people seek trusted guidance in a more complex world.

“These results mark a turning point since the combination and enable the business to shift its focus from migration to the future opportunity ahead.

“Rathbones enters the second half of 2025 in a position of financial strength. We maintain our progressive dividend policy, and announce today our intention to return surplus capital to shareholders through our first ever share buyback of up to £50m.

“As I prepare to hand over to a new leadership team, the business is well placed to drive organic growth and deliver long-term value following the combination with IW&I.”

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