Quilter (QLT) Investor presentation summary

2022 priorities and market backdrop

• Priorities: improve net flows and increase managed-flow share; simplify costs, capture operating leverage from Platform and investment solutions, and raise the dividend payout ratio.

• UK retail sales stayed strong through 2021 despite pandemic volatility; 2022 YTD industry outflows included equity, money market and fixed income funds.

Flows and high net worth

• FY21 gross flows were £13.2bn, up 33% YoY; net flows were £4.0bn, up 167%, including Affluent net flows of £2.9bn and High Net Worth net flows of £1.1bn.

• To end-April, YTD Platform and High Net Worth net inflows were broadly in line with the comparable 2021 period; lower equity markets and higher bond yields weighed on AuMA.

• High Net Worth was a steady contributor to net flows; the strategy combines advice and investment management, using adviser and investment-manager relationships to develop clients.

• Case studies showed a Leeds client adding £600k under management and a Manchester client’s AUA rising to £2.7m, followed by a £2.5m referral.

Platform and advice

• Platform priorities included regaining retail-advised gross-flow market share, with quarterly gross flows tracked across IFA and in-house adviser channels.

• Advice operates through a national B2C model and a B2B network model; priorities include adviser retention and recruitment, productivity, integrated flows and stronger controls.

• Recruitment activity and pipeline were growing amid industry consolidation; automated workflows, central services and revised processes were supporting back-book transfers.