Quilter (LON:QLT) management said it delivered strong strategic and financial progress in 2025, pointing to record net inflows, continued operating margin expansion to its medium-term target, and a refreshed capital return framework that includes a planned share buyback.
In opening remarks, CEO Steven Levin noted the “very uncertain global political environment” and said the group’s thoughts were with colleagues and clients in the Middle East.
Levin said core net flows rose to a record £9 billion, up 75% versus 2024, with momentum building across both the corporate and independent financial adviser (IFA) channels. He described the current level of net inflows—about £2 billion per quarter—as “broadly sustainable,” despite a temporary pickup in outflows tied to “protracted speculation and uncertainty” around the U.K. budget in November.
Quilter highlighted distribution and proposition initiatives as key drivers. In its corporate channel, the company increased the number of advisers and firms while also boosting productivity, with more than 100 advisers graduating from its Academy and beginning to build their client books. In high net worth, Quilter added investment managers and announced the acquisition of GillenMarkets in Ireland.
On products, Levin cited continued growth in its WealthSelect MPS, which he said is the largest in the market and now available on six third-party platforms. Quilter also launched “Smooth Funds” with Standard Life early in the year, aimed at clients nearing retirement. The company is also developing a “targeted support” proposition, and in high net worth it has added private market offerings and a new decumulation solution for retirees.
Levin said Quilter has completed its simplification program, invested in its brand, progressed its advice transformation program, and started rolling out AI productivity tools to advisers.
Quilter also pointed to platform performance, describing itself as the U.K.’s largest single adviser platform and “the fastest growing of the large platforms.” It reported corporate channel platform inflows up 12% year-on-year, with net flows around 18% of opening balances. In the IFA channel, net inflows rose 92% year-on-year, running at 9% of opening balances.
Management said the industry continues to shift away from active management toward passive and blend solutions, and away from fund-of-funds toward model portfolios (MPS). Quilter said its growth is “biased” toward WealthSelect MPS and passive/blend solutions, while Cirilium Active experienced outflows.
According to Levin, managed assets rose from £26 billion in 2023 to £37 billion at the end of 2025, with WealthSelect MPS exceeding £25 billion. He said the product’s performance and pricing have supported adoption, and that availability across third-party platforms allows advisers to use it as a core solution regardless of platform.
In response to a question on competition, Quilter said WealthSelect has “12 years of first quartile investment performance,” a broad range of portfolio options (56 portfolios across risk profiles and styles), and “market-leading” reporting and tools.
Quilter said high net worth net flow growth improved year-on-year and continued to outperform listed peers, though it characterized flows as mixed by channel. The company cited “good net flows” from its own advisers, but a more challenged picture in IFA and direct channels due to a more mature client book and higher natural redemption rates. Levin also said pre-budget uncertainty contributed to “above average outflows in Q4” among high net worth clients.
Over the past 12 months, the company combined advice and investment management commissions into a single entity, digitized several core processes, launched a mobile app, expanded plan solutions, and reported continued strong investment performance. Levin said further work is needed, and that after John Goddard took over leadership in September, Quilter refocused distribution strategy and reviewed the fit of its own RFPs. The company is “realigning and rationalizing” parts of the team, with impacted advisers able to move into its affluent segment or exit.
Quilter also said it is moving smaller-scale high net worth clients from discretionary portfolio services (DPS) to MPS to better match needs and lower costs, freeing capacity for investment managers to focus on higher-value discretionary clients. Levin said the high net worth business is working toward “mid-single-digit” net flows as a percentage of assets and an operating margin in the “mid-twenties.”
CFO Mark explained that 2025 revenue rose 5% to £701 million, including 7% growth in net management fees, partly offset by lower interest income on shareholder capital, which reduced revenue growth by about one percentage point. Average assets under management and administration (AUMA) increased 14% on strong flows and positive markets.
Costs rose 4% to £494 million, below Quilter’s £500 million guidance, reflecting inflation, higher National Insurance, business investment, and regulatory levies, partially offset by simplification savings. Adjusted profit increased 6% to £207 million and the operating margin reached 30%, which management said aligns with its medium-term goal. Adjusted diluted EPS rose 4% to 11 pence, with the difference versus profit growth attributed to a slightly higher effective tax rate.
By segment, Quilter reported:
Affluent: revenue up 7% and profits up 14% to £169 million, with operating margin improving by 2 percentage points.
High net worth: total revenue up 3% and profit of £47 million, “broadly in line” with the prior year, with operating margin declining marginally.
On costs and 2026 expectations, Mark said the business plans to invest more in areas including acquisitions (including GillenMarkets), targeted support and Culture Invest proposition development, adviser recruitment via the Academy, technology including AI capabilities, and brand-building campaigns. He suggested a modeling base for 2026 costs of roughly £530 million to £540 million, derived by doubling the second-half 2025 cost run rate and adding about 4% inflation, while noting outcomes would be managed with sensitivity to market-driven revenues. He reiterated longer-term guidance of inflation plus a few percentage points.
Quilter also discussed remediation for ongoing advice. Mark said the company had raised a £76 million provision last year and has started its remediation program. Based on current expectations, Quilter anticipates the remediation and administration costs will be about £20 million less than originally expected, prompting a reduction in the provision. The provision balance at the end of 2025 was £42 million.
The board declared a total dividend for the year of 6.3 pence per share, up 7%, including a final dividend of 4.3 pence. Quilter also outlined a shift to a distribution policy targeting 70% of adjusted post-tax, post-interest earnings returned to shareholders, with 30% retained to support growth and M&A. Following a capital review, the company said it has about £100 million of excess capital and intends to return it via a share buyback expected to complete before year-end. Management indicated that from 2026 it expects the interim dividend to be one-third of the prior year’s total cash dividend per share, and said investors should expect a 2.1 pence interim dividend for 2026.
Levin framed Quilter’s growth opportunity around rising demand for advice amid tax complexity, retirement saving needs, and intergenerational wealth transfer. Citing Boring Money research, he described an advised market of roughly £1 trillion across about 4 million people, alongside an “advice gap” of around 12 million unadvised people with more than £800 billion of assets and low confidence in investing.
Quilter said it aims to serve clients across a spectrum from prompts and guidance to targeted support, simplified advice, and full regulated advice. Levin emphasized that AI will not remove the need for advisers, particularly for complex planning and the “empathy and coaching” clients want.
Management said it is investing in technology and AI to boost adviser productivity and improve operations. Levin said Quilter has rolled out AI tools that record, transcribe, and summarize meetings, reducing work that “took hours” to “10–15 minutes.” Quilter is also developing an end-to-end adviser support system with FNZ, with full implementation targeted for early 2027, while rolling out some components in advance.
On targeted support, management said the business will likely take time to build and is not expected to “move the dial” on profitability in the next one to three years, but should have a “good operating margin” as it leverages platform margin and Quilter’s core investment solutions. The company said it submitted an application to the FCA to provide targeted support through Quilter Invest, with the regulatory process “opened this week,” and described an adviser “incubation” model where advisers can refer clients into Quilter Invest and later reconnect them back to the referring adviser.
Quilter is a leading UK and cross-border full-service wealth management business, whose purpose is to help create prosperity for the generations of today and tomorrow. It has leading positions in one of the world’s largest wealth markets, and its multi-channel proposition and investment performance are delivering attractive growth.
