Results for the year ended 30 September 2019 27 November 2019 1 - - PowerPoint PPT Presentation

1

Results for the year ended

30 September 2019

27 November 2019

2

Agenda Agenda

1 2 3 Introduction Financial results Strategic progress 4 Q&A 3 4 - 16 17 - 25 5 Appendix 26 27 - 41

3

2019 – a year of successful execution

➢ Strong organic inflows ➢ Growth in direct and indirect business ➢ Robust financial performance ➢ Four strategically important acquisitions ➢ Client offering expanded ➢ Technology infrastructure projects on track

Full year dividend

16.4p

Discretionary net inflows1

£1.4bn

Adjusted PBT2

£75.0m

Adjusted diluted EPS3

20.5p

1 Including transfers, excluding acquisitions 2 See adjusted PBT to statutory PBT reconciliation on page 36 3 See note 12 of the preliminary results to 30 September 2019

Total funds

£45.0bn

4

Financial results Siobhan Boylan

5

Another year of strong funds growth…

33.8 37.6 40.1

FY 2017 FY 2018 FY 2019

+7%

Total funds (£bn) Discretionary funds (£bn) Discretionary organic net inflows1 (£bn)

2.3 2.3 1.4

FY 2017 FY 2018 FY 2019

40.1 42.8 45.0

FY 2017 FY 2018 FY 2019

+7% +5% +11% Growth rate

1 Including transfers

8% 7% 4% Ex-transfers Net flows (£bn) Growth rate (%) 2.2 7.6 1.9 5.6 1.6 4.3

6

…driving robust financial results

70.0 77.5 75.0

FY 2017 FY 2018 FY 2019

+11%

• 3%

19.6 21.7 20.5

FY 2017 FY 2018 FY 2019

• 6%

Adjusted PBT1 (£m) Adjusted diluted EPS1 (p)

1 See adjusted PBT to statutory PBT reconciliation on page 36

23.6% Adjusted margin1 23.0%

+11% (234.5) (252.3) (265.7)

FY 2017 FY 2018 FY 2019

Total costs1 (£m)

+8% +5% 304.5 329.0 339.1

FY 2017 FY 2018 FY 2019

+3% +8%

Total income (£m)

22.1%

57.6 68.5 62.6

FY 2017 FY 2018 FY 2019

+19%

• 9%

Statutory PBT (£m)

4.25 4.40 4.40 10.75 12.00 12.00

FY 2017 FY 2018 FY 2019

16.40 16.40 15.00

Full year dividend (p)

7

MPS

0.5 0.4 0.7 0.2 1.1 0.6

Strategy delivering balanced net flows

£bn FY 2018 FY 2019 Opening discretionary funds 33.8 37.6 Inflows 3.2 2.8 Outflows (1.3) (1.2) Net new flows 1.9 1.6 Transfers 0.4 (0.2) Net flows including transfers 2.3 1.4 Acquired 0.0 0.3 Investment performance 1.5 0.8 Closing discretionary funds 37.6 40.1 Execution only & BPS 4.0 4.1 Advisory 1.2 0.8 Total closing funds 42.8 45.0 MSCI WMA Private Investor Series Balanced Index 1,612 1,665

FY 2018 FY 2019

➢ Direct (+150%) and MPS (+17%) ➢ Direct funds growth benefiting from strong integrated inflows (aided by 1762 from Brewin Dolphin) and an improved client retention rate ➢ Over £0.3bn of discretionary net inflows in Q4, mostly attributed to MPS and 1762 from Brewin Dolphin ➢ Intermediaries net flows lower due to slow down in new business, mostly pension related, which began in H2 18; quarterly flows have stabilised in FY19 ➢ £0.6bn of integrated net flows driving growth in direct book ➢ IM only net outflows (£0.1bn) ➢ £0.2bn transferred to integrated service from IM only

Majority of direct net flows into integrated service

Direct Intermediaries

Discretionary net new flows

0.2 0.1 0.4 0.2 Transfers into integrated service Net new flows into integrated service FY 2018 FY 2019

£bn

8

FY 2018 FY 2019 Change (%) £m Direct 211.6 217.5 +3 Intermediaries MPS Indirect 64.2 7.6 71.8 67.7 9.1 76.8 +5 +20 +7 Total discretionary 283.4 294.3 +4 Financial planning Other income 24.5 21.1 27.5 17.3 +12 Total income 329.0 339.1 +3 £bn (quarter end) Average total funds 41.6 42.8 +3 Average discretionary funds 36.0 37.9 +5 Average direct funds 24.3 25.0 +3 Average indirect funds 11.7 12.9 +10 Quarterly average MSCI WMA index2 1,584 1,592 +1

62.8 62.1 8.1

FY 2018 FY 2019 69.9 70.2 71.7 70.5 FY 2018 FY 2019

Intermediaries income margin (bps)1 Stable effective direct fee margin (bps)1 Income growth supported by demand for advice

➢ Direct and financial planning income growth supported by increasing demand for advice and an integrated offering ➢ Indirect income growth supported by our IFA relationships continuing to deliver positive funds flows

Diversified business mix driving increased income

1 Income margin calculated using average funds value as at each quarter’s fee

strike date

2 Average MSCI WMA Private Investor Series Balanced Index 3 Integrated recurring FP income/average direct funds

➢ Stable due to changing income mix ➢ Growth in integrated service ➢ Growth in 1762 from Brewin Dolphin ➢ Competitively priced to encourage scale – IFAs encouraged to place additional funds with Brewin ➢ Success of strategy has led to strong net flows driving increased income ➢ 39% of intermediaries funds from IFAs who individually have greater than £50m of funds with Brewin Dolphin (34% FY18)

Advice3 IM 7.1

9

3.5 7.8

Financial planning - a growing advice-led proposition

Income by quarter (£m) ➢ £4.4bn of integrated1 funds, growth of £1.0bn YoY (£0.3bn from acquisitions in the year) ➢ Q4 19 quarterly income more than doubled since Q1 15 ➢ Income growth expected to continue, supported by acquisitions ➢ 38% of FP income from pension related advice (up from 36% in FY 2018) ➢ Over 50% (£0.5bn) of direct private client inflows into integrated1 offering, up from 43% (£0.3bn) in FY 2018 ➢ 22% of direct discretionary clients are now integrated1 FP clients

• £0.2bn net flows transferred to integrated1

service from IM only in the year

FY 2015 FY 2016 FY 2017 FY 2018 FY 2019

2018 2019 Change (%)

• No. of integrated1 FP

clients2 5,500 6,300 +15

• No. of FP only clients2

1,200 1,600 +33 Total no. of FP clients2 6,700 7,900 +18 Integrated1 funds £3.4bn £4.4bn +29 Private client integrated inflows £0.3bn £0.5bn +67

1 Where a client receives FP and IM services directly from Brewin Dolphin 2 Receiving ongoing advice

10

126.7 117.1 2.8 1.5 2.1 3.0 0.2

FY 2018 Pay inflation Financial planning 8WP & WealthPilot Infrastructure investment Other FY 2019

£3.6m

Incremental investment for future growth

£m FY 2018 FY 2019 Change (%) Staff costs 117.1 126.7 +8 Non-staff costs 77.5 80.8 +4 Fixed operating costs 194.6 207.5 +7 Profit share 57.7 58.2 +1 Total costs1 252.3 265.7 +5 Total staff cost / income (%) 53.1 54.5 Non-staff costs / income (%) 23.6 23.8 Total costs / income (%) 76.7 78.4 Profit share / pre profit share profit (%) 42.9 44.2 Headcount ex-acquisitions 1,699 1,810 +7 Acquisitions 54 Headcount 1,699 1,864 +10

Staff costs (£m)

1 See adjusted PBT to statutory PBT reconciliation on page 36 2 FSCS levy for FY 2019 was £3.1m

80.8 77.5 0.5 1.3 0.3 FY 2018 BAU FSCS levy 8WP & WealthPilot Acquistions FY 2019

Non-staff costs (£m)

£1.6m

1.22

11

Cash flow

229.2 199.4 2.0 15.3 2.4 11.0 8.8 46.0 2.3 12.7 43.4 85.1 58.4

FY 2018 Adjusted EBITDA Pension funding Capex Working capital Interest, tax &

• ther

Net share purchases Dividends M&A costs Placing M&A FY 2019 ICIIL Post ICIIL acquisition

186.2

Aylwin - £2.0m Mathieson Consulting - £0.7m Epoch - £10.0m

£m

Software - £10.1m PPE - £5.2m

£13.6m of cash from acquisition of ICIIL

1 Investec Capital & Investments (Ireland) Limited 2 €50.2m total payment, €15.7m cash

1 2 2

12

Strong balance sheet

£m FY 2018 FY 2019 Goodwill, client relationships & brand Software 83.2 2.5 104.5 12.7 Total intangible assets 85.7 117.2 Fixed assets Defined benefit pension Other non-current assets 8.1 11.4 4.2 10.7 17.4

• Total other non-current assets

23.7 28.1 Net cash Working capital Provisions 186.2 (9.3) (3.4) 229.2 (10.2) (4.4) Total net current assets 173.5 214.6 Total non-current liabilities (9.2) (22.2) Net assets 273.7 337.7 Regulatory capital resources Capital adequacy (%) 180.8 234 216.0 291

*

Movement in intangible assets (£m)

*

1 Proforma impact of ICIIL (completed 31 Oct 2019) and impact of IFRS 16 (effective from October 1 2019) 2 Investec Capital & Investments (Ireland) Limited

Acquisitions Technology upgrades Amortisation/other 28.2 11.3 (8.0) Total 31.5 Regulatory capital resources Acquisition of ICIIL2 IFRS 16 impact 216.0 (32.9) (6.6) Proforma Capital adequacy 176.5 235% Proforma regulatory capital resources (£m)1

13

Strong regulatory capital position

Net assets £337.7m as at 30 September 2019 Capital deductions £121.7m Regulatory capital resources £216.0m Regulatory capital resources £216.0m Capital adequacy 291% Capital requirement including group risk appetite (150%) £111.5m

1 Based on issued share capital as at 22 November 2019 2 Based on capital requirement post completion of ICIIL acquisition

Capital resources are 291% of FCA requirements

ICIIL acquisition £32.9m Capital requirement including group risk appetite (150%) £113.1m2 Available capital £69.1m *

Capital resources of £176.5m are 235% of FCA requirements

*

Future uses:

• Increase in

intangibles as investment continues

• Available for

investment Available capital £28.0m IFRS 16 impact £6.6m Final dividends

• est. £35.4m1

Final dividends

• est. £35.4m1

14

Irish acquisition completed and integration on track

➢ Completed on 31 October 2019, now 3rd largest wealth manager in Ireland ➢ All key staff retained, 50 people joined in line with plans ➢ Cost synergy benefits realised on completion ➢ Regulatory permissions that are no longer required have been removed ➢ Business continued to grow with total funds at 30 September 2019 of €3.1bn (31 March 2019 €2.9bn) ➢ Successful joint client launch events held in November in Dublin and Cork with over 400 clients attending ➢ Staff engagement events held in Dublin, combined teams expected to be in one office location by mid 2020 ➢ Migration expected to complete in H1 2020

15

FY 2020 guidance

Opex

➢ Full year impact of closing FY 2019 headcount along with pay inflation ➢ Underlying staff costs +5% ➢ Underlying non-staff costs flat ➢ Total capex expected to be c.£30m across Client Management System, core settlement and custody system and property

Capex

➢ c.(£1.0m) impact to adjusted PBT ➢ As previously guided, impact

• f acquisitions in year

expected to be approximately £7.0m of PBT

IFRS 16 M&A

16

KPIs – reviewed and refreshed

Build a platform for growth Adjusted PBT margin2 (%) 22 22 23 24 22 25 Capital adequacy ratio (%) 248 232 232 234 2913 Min 150 Provide more choice for more clients Discretionary fund inflows (%) 5 4 8 7 4 5 Net promoter score (-100% / +100%) n/a +45 +48 +44 +51 +461 Further develop

• ur client centric

experience/ proposition Overall client satisfaction (n/10) n/a 8.4 8.5 8.5 8.6 8.51 Discretionary funds per CF30 (£m) 53 64 75 80 81 100 Maintain a culture we are proud of Employee engagement (%) 76 78 82 83 87 771

1 Benchmark 2 See adjusted PBT to statutory PBT reconciliation on page 36 3 235% post ICIIL acquisition & IFRS 16 4 See note 12 of the preliminary results to 30 September 2019

RG RG RG CS IE IE IE CS

RG IE CS Revenue growth Improved efficiency Capital efficiency and shareholder return

Adjusted EPS4 17.1 16.8 19.6 21.7 20.5 n.a Dividends (p) Dividend payout ratio 12.0 (70%) 13.0 (77%) 15.0 (77%) 16.4 (76%) 16.4 (80%) 60% - 80%

CS

17

Strategic progress David Nicol

18

Opportunity for the business

➢ Advice gap continues to provide

• pportunities

➢ Onus on individuals to provide for retirement ➢ Increased demand for financial planning and expert investment advice ➢ Demand across all segments of society (mass market, mass affluent, HNW)

6% 3.2m 25% 12.8m 69% 35.1m 9% 4.5m 36% 18.2m 55% 28.3m Source: FCA Interim consumer research to inform FAMR 2018

Number of UK adults that have had regulated financial advice in the last 12 months compared to those that have not had advice in the same period

2017 2018

Had regulated financial advice in the last 12 months Not had regulated financial advice in the last 12 months; might have a need for it Not had regulated financial advice in the last 12 months; less likely to have a need for it OR insufficient information

19

Making the most of the opportunity

a people business focused on relationships

Distribution Product and proposition

FY 2015 FY 2016 FY 2017 FY 2019 FY 2018

BPS Professional Services Offering MPS Passive WealthPilot 1762 from Brewin Dolphin Mathieson Consulting

Cambridge

• ffice

Duncan Lawrie Asset Management Financial planning academy 8 Waterloo Place Aylwin Winchester

• ffice

Epoch/ Bath office Dundee IFA acquisition

MPS unitisation

ICIIL ➢ Growth initiatives are advice-led ➢ Financial planning capability in every office in UK and Ireland

• 25% of offices led by financial planner
• 105 qualified financial planners, 129 paraplanners

and assistants, 22 employees enrolled in FP academy ➢ High quality investment advice ➢ Relationship with 500 professional services firms ➢ “Spectrum of Yes”

Direct Indirect

➢ Relationship with over 1,700 IFA firms ➢ Nationwide sales team liaising with IFAs ➢ High quality investment service ➢ Powered by ➢ Enhanced MPS service FY 2013

20

Progress on our strategic objectives

Maintain a proud culture Further develop our client-centric experience / proposition Provide more choice for more clients Build a platform for growth

21

Progress on our strategic objectives

1762 from Brewin Dolphin

• Hired high quality advisers
• Fund flows gaining momentum
• Innovation in client proposition

MPS

• Three agreements signed under Powered by proposition

WealthPilot

• Technology solution on track to be delivered in H1 2020

BPS

• >5,000 clients
• c.£200m funds

Provide more choice for more clients Further develop our client-centric experience / proposition

MyBrewin

• iOS and Android apps launched
• >30% of DFM clients registered
• 90% of registered clients log in

fortnightly WealthPilot

• Adviser technology received and in

testing

• Creates capacity to scale-up

Client Management System (Client Engage)

• One integrated system for client lifecycle
• Efficiencies in handling client relationships and client

information

• Targeting delivery Spring 2020

22

M&A

• Developing track record on M&A (six transactions over

two and half years)

• Four acquisitions successfully completed in 2019
• Performing in line with expectations

Core custody & settlement system

• Modernising legacy technology
• Project on track to be implemented towards end of 2020
• Efficiencies in straight through processing and
• perational risk reduction

London HQ

• Previous tenant now vacated and building works
• underway. Fit out due to commence in H2 2021
• Enhanced client and staff facilities and environment

Employee investment

• Ongoing investment in management and leadership

training (client relationship training, Cranfield MBA)

• Increased diversity and inclusion, ranked #6 in FTSE 250

in Hampton-Alexander 2019 review of gender balance in FTSE leadership (#27 in 2018)

• Employee engagement result increased to 87%, above

industry average of 77%

• Over 6,100 volunteering hours
• Platinum award in National Payroll Giving Excellence

Awards (improvement from Gold obtained in FY 2018) ESG

• Company wide ESG initiative
• Stewardship code embedded in investment management
• MSCI ESG rating of AA1

Progress on our strategic objectives

1 As of November 2019

Maintain a proud culture Build a platform for growth

23

2020 focus

Maintain a proud culture Build a platform for growth

• Ongoing leadership and management training, second

phase of client relationship training

• Further commitment to diversity and inclusion
• Implement Client Engage (new CMS system)
• Deliver core custody and settlement system
• Build on corporate responsibility achievements within a

wider ESG framework

• Further enhance proposition in 1762 from Brewin

Dolphin

• Acquisitions integrated and benefits delivered
• Deliver enhanced WealthPilot service
• Continued improvement of digital capability
• Further develop ESG related client propositions

Provide more choice for more clients Further develop our client-centric experience / proposition Build a platform for growth

24

Concluding remarks

25

Conclusion

Investment case ✓ Strong client relationships ✓ Broadening footprint ✓ Diversified business mix ✓ Organic and inorganic growth Growing discretionary funds & high retention rate New offices opened Balanced growth between direct and indirect Continued net inflows and four acquisitions Evidence

“Confident outlook based on disciplined growth strategy”

26

Q & A

27

Appendix

28

P&L

£m FY 2018 FY 2019 Change (%) Total income 329.0 339.1 +3 Total operating costs (252.3) (265.7) +5 Adjusted operating profit1 76.7 73.4

• 4

Net finance income 0.8 1.6 Adjusted profit before tax1 77.5 75.0

• 3

Statutory profit before tax 68.5 62.6

• 9

Adjusted PBT margin1 (%) Adjusted diluted EPS2 (p) Total dividend (p) 23.6 21.7 16.4 22.1 20.5 16.4

• 6
• Cash and cash equivalents

Capital adequacy (%) 186.2 234 229.2 291

1 See adjusted to statutory profit rec on page 36 2 See note 12 of the preliminary results to 30 September 2019

29

Improvement in quality of business

38 66 71 4 6 8 41 25 20 17 3 1

2010 FY 2015 FY 2019

Discretionary 51 78 89 16 11 9 33 11 2 Execution

• nly

Advisory

Asset mix % Income profile %

FY 2010 FY 2015 FY 2019 FY 2015 FY 2019 Fees FP income Commissions Other Income FY 2010

30

Funds summary

£bn FY 2017 FY 2018 FY 2019 12 month change % Private clients Charities and corporates Direct discretionary Intermediaries MPS Indirect discretionary 18.9 4.5 23.4 8.1 2.3 10.4 20.4 4.7 25.1 9.5 3.0 12.5 21.4 4.9 26.3 10.0 3.8 13.8 +5 +4 +5 +5 +27 +10 Discretionary 33.8 37.6 40.1 +7 BPS Execution only 0.1 3.5 0.1 3.9 0.2 3.9 Advisory 2.7 1.2 0.8 Total funds 40.1 42.8 45.0 +5 MSCI WMA Private Investor Series Balanced Index 1,545 1,612 1,665 +3 FTSE 100 Index 7,373 7,510 7,408

• 1

1 Includes £0.3m of acquisitions

1

31

Fund flows

£bn Private clients Charities and corporates Direct discretionary Intermediaries MPS Indirect discretionary Discretionary funds BPS Execution only Advisory Total funds Inflows Outflows Net new flows 1.0 0.2 (0.6) (0.1) 0.4 0.1 1.2 0.9 0.7 1.6 (0.7) (0.5)

• (0.5)

0.5 0.4 0.7 1.1 2.8 (1.2) 1.6 0.1 0.2

• (0.5)

0.1 (0.3)

• (0.1)

(0.1) 3.1 (1.8) 1.3 Net flows 0.2 0.1 0.3 0.4 0.7 1.1 1.4 0.1 0.2 (0.4) 1.3 Annualised growth rate % Inflows Outflows Net new flows +5 +4

• 3
• 2

+2 +2 +5 +9 +23 +13

• 3
• 5
• 4

+2 +4 +23 +9 +7

• 3

+4 +7

• 4

+3 Transfers (0.2)

• (0.2)
• (0.2)
• 0.5

(0.3)

32

Discretionary fund flows

0.1 0.2 0.3 0.5 0.9 0.6 0.7 0.5 0.6 0.7 0.8 0.9 1.5 1.5 0.9 0.9 1.4 1.4 1.0 1.0 1.0 1.1 1.2 (0.1) (0.2) (0.3) (0.3) (0.3) (0.4) (0.5) (0.4) (0.9) (1.0) (1.0) (1.2) (0.9) (0.9) (0.7) Direct Intermediaries MPS

Inflows Outflows

FY 2012 2013 2014 2015 2016 2017 2018 2019

Total gross inflows

1.4 2.1 2.3 2.1 2.4 3.4 3.2 2.8

Total gross

• utflows

(0.4) (1.0) (1.2) (1.3) (1.5) (1.2) (1.3) (1.2)

£bn

33

Fees and commissions

£m FY 2018 FY 2019 Change (%) Fees Commissions 223.7 59.7 231.7 62.6 +4 +5 Discretionary 283.4 294.3 +4 BPS (Fees only) 1.1 1.2 +9 Fees Commissions 4.4 6.3 4.1 6.2 Execution only 10.7 10.3

• 4

Fees Commissions 4.7 1.8 2.1 0.4 Advisory 6.5 2.5

• 62

Total fees Total commissions 233.9 67.8 239.1 69.2 +2 +2 Total fees and commissions 301.7 308.3 +2 Financial planning Other 24.5 2.8 27.5 3.3 +12 Total income 329.0 339.1 +3

34

Total funds and income margin

FY 2018 Average funds1 £bn FY 2019 Average funds1 £bn FY 2018 Income £m FY 2019 Income £m FY 2018 Average margin1 bps FY 2019 Average margin1 bps Change bps Discretionary 36.0 38.1 283.4 294.3 78.7 77.2 (1.5) YoY change 6% 4% (2%)

BPS 0.2 0.2 1.1 1.2 70.3 68.6 (1.7) Execution only 3.8 3.8 10.7 10.3 27.8 27.0 (0.8) Advisory 1.6 0.9 6.5 2.5 41.3 28.2 Total 41.6 43.0 301.7 308.3 72.5 71.8 (0.7) YoY change 3% 2% (1%)

1 Calculated using funds value as at quarter end fee strike dates

35

Discretionary funds and income margin

FY 2018 Average funds1 £bn FY 2019 Average funds1 £bn FY 2018 Income £m FY 2019 Income £m Change % FY 2018 Average margin1 bps FY 2019 Average margin1 bps Change bps Direct 24.3 25.1 Fees 153.0 156.0 2 62.8 62.1 YoY change 3% Commissions 58.6 61.5 5 24.1 24.5 211.6 217.5 3 86.9 86.6 (0.3) Intermediaries 9.0 9.6 Fees 63.1 66.6 6% 70.4 69.4 YoY change 7% Commissions 1.1 1.1 1.3 1.1 64.2 67.7 5% 71.7 70.5 (1.2) MPS 2.7 3.4 Fees 7.6 9.1 20% 27.9 27.1 (0.8) YoY change 26% Total discretionary 36.0 38.1 Fees 223.7 231.7 4% 62.1 60.8 YoY change 6% Commissions 59.7 62.6 5% 16.6 16.4 283.4 294.3 4% 78.7 77.2 (1.5)

1 Calculated using funds value as at quarter end fee strike dates

36

Statutory PBT reconciliation

£m FY 2018 FY 2019 Change (%) Profit before tax and adjusted items 77.5 75.0

• 3

Defined benefit pension scheme past service costs Acquisition costs FSCS levy refund Onerous contracts Incentivisation awards Other gains and losses Adjusted items Amortisation of client relationships & brand

• 0.3

(0.2) (1.3) (0.2) (1.4) (7.6) (1.9) (2.3)

• (1.0)

(0.3)

• (5.5)

(6.9) Statutory profit before tax 68.5 62.6

• 9

Tax (15.0) (14.5) Statutory profit after tax 53.5 48.1

• 10

Statutory diluted earnings per share (p) 18.9 16.6

• 12

Average number of diluted shares 282.7 289.3

37

Regional network

£bn FY 2018 FY 2019 Change (%) London / South East 12.2 12.5 +2 Scotland / Northern England 8.5 8.8 +4 Midlands and Islands1 5.6 6.0 +7 South / West & Wales 8.3 9.0 +8 Models 3.0 3.8 +27 Total discretionary funds 37.6 40.1 +7

1Includes Brewin Dolphin Ireland

1.3 1.4 +8 Number of offices 30 32

38

Cash flow – full year cycle

138.8 229.2 199.4 5.6 30.5 8.8 33.0 1.9 8.8 9.7 13.0 10.8 6.5 43.4 186.2 41.2 43.9 28.1 58.4 FY 2018 Adjusted EBITDA Capex Working capital Net share purchases Final dividend M&A Pension funding, interest, tax &

• ther

H1 2019 Adjusted EBITDA Capex Working capital Placing Interim dividend M&A Pension funding, interest, tax &

• ther

FY 2019 ICIIL Post ICIIL acquisition

£13.6m of cash from acquisition

• f ICIIL

£m

1

1 Investec Capital & Investments (Ireland) Limited 2 €50.2m total payment, €15.7m cash 2 2

39

Asset allocation (balanced) as at 30 September 2019

Asset class WMA Balanced % BD Balanced % Cash 5.0 5.0 Gilts Corporate bonds UK index linked bonds (O/B) 5.0 10.0 2.5 6.0 8.5 1.5 Bonds 17.5 16.0 UK North America Dev’d Europe ex UK Japan Asia Emerging Overseas 30.0 20.1 4.8 2.4 4.1 1.1 32.5 29.5 23.0 4.5 2.5 4.5 1.0 35.5 Equities 62.5 65.0 Hedge funds / Absolute return (O/B) UK commercial property 10.0 5.0 10.5 3.5 Alternatives 15.0 14.0 Total 100.0 100.0

40

Dividends

3.55 3.65 3.75 3.85 4.25 4.40 4.40 5.05 6.25 8.25 9.15 10.75 12.00

2013 2014 2015 2016 2017 2018 2019

Interim dividend (p) Final dividend (p) Total dividend (p) 8.6 9.9 12.0 13.0 15.0 16.4 16.4 12.00

41

Major shareholders as at 1 November 2019

% holding Aberforth Partners 5.9 Kabouter Management 5.1 BlackRock 4.7 Royal London Asset Management 4.7 M&G Investment Management 3.7 Vanguard Group 3.6 Legal and General Investment Management 3.5 Kames Capital 3.5 Janus Henderson Investors 3.5 Other1 61.8

1 Of which Brewin Dolphin staff and former staff

including Employee Benefit Trust 13.9

42

Disclaimer

The information contained in this document has been prepared by Brewin Dolphin Holdings PLC (the "Company"). No representation or warranty, express or implied, is or will be made as to, or in relation to, and no responsibility or liability is or will be accepted by the Company or by any of its affiliates or agents as to or in relation to, the accuracy or completeness of this document or any other written or oral information made available to or publicly available to any interested party or its advisers, and any liability therefore is expressly disclaimed. Notwithstanding the aforesaid, nothing in this paragraph shall exclude liability for any undertaking, representation, warranty or other assurance made fraudulently. This document does not constitute or form part of any offer for sale or solicitation of any offer to buy or subscribe for any securities in the Company nor shall it

• r any part of it form the basis of or be relied on in connection with, or act as any inducement to enter into, any contract or commitment whatsoever. No

reliance may be placed for any purpose whatsoever on the information or opinions contained in this document, the presentation or on the completeness, accuracy or fairness. Certain statements in this document are forward-looking statements which are based on the Company's expectations, intentions and projections regarding its future performance, anticipated events or trends and other matters that are not historical facts. These forward-looking statements, which may use words such as "aim", "anticipates", "believe", "intend", "estimate", "expect" and words of similar meaning, include all matters that are not historical facts. These forward- looking statements involve risks and uncertainties that could cause the actual results of operations, financial condition, liquidity, dividend policy and the development of the industry in which the Company's business operates to differ materially from the impression created by the forward-looking statements. These statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Given these risks and uncertainties, prospective investors are cautioned not to place undue reliance on forward-looking statements. Forward-looking statements speak only as of the date of such statements and, except as required by the FCA, the London Stock Exchange or applicable law, the Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise. Neither the content of the Company's website: www.brewin.co.uk (or any other website), nor the content of any website accessible from hyperlinks on such websites, is incorporated into, or forms part of this document. 27 November 2019

43

12 Smithfield Street, London, EC1A 9LA Tel: 020 3201 3900 Email: investor.relations@brewin.co.uk https://www.brewin.co.uk