Schroders posted a £200m net retail inflow in the first quarter, stemming the strong redemptions it suffered last year.
However, a £2.4bn institutional outflow contributed to the firm's AUM decline from £110.2bn to £103.1bn at Q1 end.
The fund manager also announced its profit before tax and exceptional items fell by almost 54% to £36.1m in the period.
"The high level of volatility in financial markets in the first quarter is likely to persist and continue to affect investor demand," the statement reads.
"Against this background, we have reduced our staff costs and taken actions which will lead to a reduction in other costs later in the year and into 2010."IFAonline
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