British wealth manager Charles Stanley has reported a 45% jump in profit even though it bled around £4bn of assets as a result of the Covid-19 crisis.

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The firm’s underlying pre-tax profit stood at £19.3m in the year ended 31 March 2020, compared to £13.3m a year ago.

The rise was said to be driven by the firm’s repricing exercise completed in the prior year to bring its rates in line with the rest of the market.

Reported pre-tax profit for the financial year surged 57% year-on-year to £17.3m.

The group’s revenue increased 11% to £173m from £155.2m. The firm mainly attributed the growth to higher fee income in its Financial Planning unit.

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All three of Charles Stanley’s units, namely Investment Management Services, Charles Stanley Direct and Financial Planning, reported rise in revenues.

However, the market turmoil caused by the pandemic dampened the group’s funds under management and administration (FUMA).

The firm’s FUMA at the end of March 2020 totalled £20.2bn, down 16% from £24.1bn in the previous year. 

Charles Stanley CEO Paul Abberley said: “Trading results for the new financial year are expected to be significantly impacted by the crisis, with lower stockmarket valuations and reduced interest rates.

“However, Charles Stanley is well positioned to navigate through the challenges and to emerge strongly. We have a very robust balance sheet with significant cash balances, and we will continue to focus on transformation and growth initiatives.”