Woodford Investment Management posts £11m profit

Woodford Neil WIM

Woodford Investment Management made profit of £11.3m from January 2014 to March 2015, according to the firm’s first set of accounts.

Assets under management at the firm reached £12.9bn with the company also reporting a net increase in cash of £7.4m over the year.

However, total operating expenses were at £14.7m for the year, mostly due to personnel expenses as well as general and administrative expenses.

The asset manager took in £27.5m in management fees for the period. During the past year, the CF Woodford Equity Income passed the £7bn barrier making it the biggest UK equity income fund to date.

Woodford Investment Management chief executive Craig Newman says: “Our aim is to build a fund management company that challenges industry norms and gives investors both value and transparency.

“Our first year’s results give us a platform to invest in the resources, people and infrastructure needed to drive that ambition forward.”

The fund manager spent £8.4m on staff costs for the year, including salary, pension, and other staff costs. The highest paying member took home £645,601, including profit distribution. The asset manager now has 35 staff, following hires last month.

The firm’s flagship fund has returned 19.5 per cent against the FTSE All Share return of 1.1 per cent over the year to March 2015, according to Morningstar.