Standard Life inflows rise despite tough markets

Standard Life bucked volatile global markets to post a 9% rise in pre-tax operating profits to £665m with a £38m reduction in the spread/risk margin and diluted operating EPS of 26.1p.

Assets under administration were up 4% to £307.4bn in volatile markets, driven by net inflows of £6.3bn against £1bn in 2014.

The company said its institutional and wholesale operations continued to meet the needs of clients with net inflows more than doubling to £12.6bn, representing 13% of opening assets under management.

It added that 67% of net inflows from outside the UK as it continue to expand its global reach.

Workplace and retail demonstrated saw net inflows up 14% to £5.8bn, representing 8% of opening assets under administration as the company added more over 250,000 new customers through auto enrolment contributing to 9% increase in regular contributions into workplace pensions to £2.9bn.

Fee based revenue rose 10% to £1.58bn representing 94% of underlying income.

Standard said it was now "well capitalised" under European Union Solvency II rules with a stable surplus of £2.1bn and a solvency ratio of 162%.

Chief executive Keith Skeogh said the company had made progress against a backdrop of volatile investment markets and an evolving regulatory landscape.

"While the difficult conditions in global financial markets may persist for some time, Standard Life remains well positioned to meet the needs of clients and customers around the world," he said.

"The breadth of our investment propositions, underpinned by strong investment performance and innovation, combined with our strength in pensions and savings, the power of a trusted brand and a strong balance sheet, means that we have a well-diversified and resilient business that continues to deliver for customers and clients as well as shareholders."