Gains in assets under management reflected positive market effects and investment performance, with some offsetting impact from disposals and net outflows.

Schroders, the UK-based wealth and asset management group in the process of being acquired by US-headquartered Nuveen, has said today that its pre-tax statutory profit for the six months to end-June more than doubled on a year earlier to £396.8 million ($529.2 million), up from £196.9 million. 

Operating income on a statutory basis rose 20 per cent to £1.455 billion.

Assets under management, including joint ventures and associates, rose 12 per cent to £867.8 billion. However, when JVs – for example with China’s Bank of Communications – and associates are excluded, there was a decline in net new business of £8.3 billion, versus a gain of £4.5 billion in the same six-month period of 2025.

The AuM gain reflected positive market movements, favourable foreign exchange shifts and investment performance, partly offset by net disposals and net outflows.

Headline net new business reflected a low-margin institutional mandate net outflow of £6.6 billion, predominantly from core solutions. Excluding this, group NNB improved quarter-on-quarter, the firm said. 

Cazenove Capital generated £1.9 billion of NNB in the second quarter, reflecting “strong demand for discretionary services from private clients across the UK and Europe and improved net flows from charities,” Schroders said. The quarterly performance increased the annualised NNB rate to 5 per cent for H1 2026.

Cost savings goals
This year, Schroders said it delivered £13 million of in-year savings recognised through the income statement, net of reinvestment. On an annualised basis, it has chalked up more than 98 per cent of its three-year £150 million annualised savings target.

Wealth
Schroders said it is mixing the promotion of internal talent with hiring experienced industry professionals to be the “partner of choice” for high net worth and ultra-HNW individuals, family offices, charities and endowments. Cazenove Capital has “significantly increased” its graduate intake for 2026 and plans to continue expanding opportunities for emerging talent, it said. 

In early February, Nuveen, the US asset manager and wholly owned subsidiary of financial services organisation TIAA, agreed to buy Schroders, sending the latter’s share price up sharply. Schroders, which has a history dating back to the start of the 19th century, is one of the most prominent names in the City. Its acquisition is a reflection of transatlantic M&A, as seen by the purchase agreement in 2025 by Corient to buy Stonehage Fleming and Stanhope Capital, two UK-based multi-family offices and wealth houses.