Anchor says assets under management fell in ‘difficult’ year
Anchor Group, which provides private client, asset management and stockbroking services, said on Thursday its assets under management and advice fell by 6% in 2018 to R49bn amid a “difficult” year for the investment industry. The weakness in stock markets was offset by the addition of 1,700 new high-net-worth private clients throughout the year, Anchor said. The group, which said it “did well to hold profit levels in a negative environment”, reported a 2% decline in adjusted headline earnings per share (HEPS) from continuing operations, to 38.4c. Operating margins fell to 22%, an all-time low, because of a decline in profitability of the hedge fund unit, no performance fees being earned in 2018, lower private-client brokerage revenues, more investments going into fixed income, and “investment in distribution initiatives”. The group said it is “well placed to take advantage of a more positive SA environment”. Operating margins should lift “as the scale of the business increases and t...
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