ST JAMES'S PLACE

St. James’s Place reports an adjusted half-year after-tax profit of £224m, 14% above consensus estimates. Net cash inflows amounted to £2.7bn and assets under management to £240.8bn, each roughly in line with or slightly above analysts' forecasts. The company announces a £128m share buyback and keeps the interim dividend at the expected level. Adviser numbers remain broadly stable, the effective tax rate fell to 19%, and operating costs remain under control, with investment expected in the second half of the year. » More on de.investing.com

Shares of St. James’s Place lost 6.3% to 1,184p, weighed down by growing fears of AI-driven disruption in the asset management sector. Barclays downgraded the rating from "Overweight" to "Equal Weight" and cut the price target by around 23%, describing AI as a near-term structural threat and an increased discounting factor. Barclays warns that 10 basis points of fee pressure from AI could correspond to roughly a 24% decline in margins. Investors are awaiting the next quarterly results on 29 July and watching whether the operational turnaround and the approved share buyback programme of up to £122.6m can offset the pressure. » More on de.investing.com

St. James’s Place increased adjusted cash result after tax in 2025 by 3% to £462m and raised assets under management by 15.8% to £220bn. Net cash inflows rose 42% to £6.2bn; the company introduced a new fee structure and the Polaris multi-index fund range. Group-wide headcount was reduced by 14%; management expects EPS of $1.12 for 2025 and sees the margin on established FUM in 2026 at the lower end of the 43–45 basis points range. » More on de.investing.com