Rathbone Unit Trust Management suffered a £230m net outflow in 2009, taking its total funds under management down to £940m at 31 December.
Andy Pomfret, Rathbone Brothers chief executive, attributed the decline to a period of poor performance for the group. He says the retail business continued to experience net outflows, primarily in the first half of 2009.
Carl Stick's Rathbone Income fund reduced in size from £544m to £503m over the twelve months, despite the vehicle climbing 23.5% over the period.
"Towards the end of 2009 we have seen some signs of improvement, although it will take a while to rebuild momentum," Pomfret says.
"Mike Webb joined us in February 2010 and will be taking over as chief executive of Rathbone Unit Trust Management with effect from 1 April. We look forward to working with him to develop this important part of Rathbones."
At group level, Rathbone Brothers recorded total funds under management of £13bn in 2009, up from £10.5bn. This includes £500m of assets from a transaction with Lloyds Banking Group. Profit before tax from continuing operations fell by 30.3% to £29.5m last year.
Vitality at Work scheme
Reporting to Steve Hill
Appointed on 19 September
Plans to double size in five years
Unnamed company valuation reduced