Charles Stanley, the stockbroking and investment management group, reported pre-tax profits fell 37% to £8.5m for the year ended 31 March 2012.
This compared to £13.4m for the previous year as the escalating eurozone crisis hit the number of shareholder transactions over the period.
Revenues for the year were also down 5% to £119.6m, compared to £125.6m the previous year. However, fees were up 8% to £67.4m.
Its financial services division reported revenues rose from £9.4m in 2011 to £11.6m in 2012, but its larger private client division suffered a fall from £106m to £100.5m over the period.
Funds under management and administration rose 6% to £15.4bn from £14.5bn in 2011.
The group's profits were once again hit by a substantial levy to the Financial Services Compensation Scheme of £1.6m.
Sir David Howard, chairman, said: "I complained strongly in my statement last year about the Financial Services Compensation Scheme, which requires your company to fund compensation to clients of failed investment firms in wholly unrelated areas of business. In 2009-10 the bill for your company was £686,000, in 2010-11 it was £2.6m, and in the latest year the figure is £1.6m.
"This represents a very substantial slice of our pre-tax profit...This intense regulatory pressure across the financial services sector places a great burden on our resources, both financially and in the diversion of management resources.
"But there is little evidence that the increasingly intrusive and burdensome micro-management of investment companies has been successful in staving off some egregious examples of fraud and mismanagement, the cost of which is spread across the shareholders in financial service companies."
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