Brooks Macdonald‘s net flow target of 5% annualised growth is achievable, CEO Andrea Montague has told Money Marketing, after the wealth manager returned to positive territory in its 2026 financial year. For long-term investors assessing the stability of discretionary fund managers inside their portfolios, the direction of travel matters as much as any single quarter’s number.
Brooks Macdonald Net Flow Target: What the FY26 Numbers Show
The firm reported net inflows of £226m for the year to 30 June 2026, a swing of more than £600m from the £396m of net outflows recorded in FY25. Flows improved progressively through the year, with three consecutive quarters of positive net inflows and what the company described as its strongest quarterly performance for three years in the final quarter.
Beyond the flow figures, the balance sheet context is encouraging for those assessing the firm’s structural health. According to Yahoo Finance, total funds under management reached £19.3bn at the end of June 2026, up from £16.5bn a year earlier. Within that, the professional and managed portfolio service (PMPS) segment grew particularly quickly, with funds under management rising 35% year on year to £8bn, a rate of growth that implies this part of the business is absorbing a meaningful share of inflows.
Montague’s confidence in the 5% medium-term target rests on that quarterly momentum. Whether the firm can sustain it through a less forgiving market environment remains the open question for any investor who holds Brooks Macdonald as a constituent of a diversified portfolio. Net flows at discretionary managers tend to be cyclically sensitive: when equity markets turn sharply lower, clients reassess their arrangements, and outflows can accelerate quickly.
M&G Adjusted Operating Profit: Best First-Half Since the 2019 Listing
M&G reported a 15% rise in adjusted operating profit to £435m for the first half of 2026, up from £378m in the same period of the prior year. The result was described as the company’s best first-half performance since listing in 2019, and was supported by £2.4bn of net inflows from open business, alongside growth in its asset management division.
Assets under management and administration increased to £387bn, from £355bn at the end of June 2025 and £376bn at the close of last year. For income-oriented investors who hold M&G for its dividend, operating profit at this level strengthens the case that cash generation remains robust. That said, adjusted figures exclude items that can be material in insurance-linked businesses, and a full read of the accounts is always warranted before drawing conclusions about distributable earnings.
Over a five-to-ten-year horizon, the combined picture from both businesses points to a sector where scale and flow momentum are diverging sharply between firms. Managers who lost assets during the 2024 and 2025 market turbulence are now competing hard to recover ground, and the cost of that recovery, in distribution spend and platform fees, bears watching. For investors in accumulation building exposure to financial services, the quality of recurring revenue and the stability of net flows are more reliable indicators of long-term value than any single half-year result.
Brooks Macdonald’s next scheduled update will give investors an early read on whether the FY26 momentum has carried into the new financial year, and whether the PMPS segment can maintain its pace of growth against what remains a competitive intermediary market.
