Schroders Strengthens Global Presence Through Partnerships

Schroders has been expanding its global presence through strategic partnerships. This has enabled the company to tap into new markets and offer its clients a wider range of investment opportunities.

By forming alliances with other financial institutions, Schroders has been able to establish a stronger presence in various regions. This includes Asia, where the company has partnered with local firms to gain a deeper understanding of the market.

Through these partnerships, Schroders has been able to offer its clients access to new investment products and services. This has helped the company to attract a more diverse client base and increase its overall revenue.

Schroders' partnerships have also enabled the company to leverage the expertise and resources of its partner firms. This has allowed Schroders to enhance its own capabilities and improve the quality of its services.

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Schroders' history began in 1804 when Johann Heinrich Schröder became a partner in J.F. Schröder & Co, the London-based firm of his brother.

The company's name was later changed to J. Henry Schröder & Co in 1818, marking a significant milestone in its development.

Schroders established J. Henry Schroder Banking Corporation, or Schrobanco, as a commercial bank in New York in 1923.

The public offering of shares in J. Henry Schroder & Co Ltd on the London Stock Exchange in 1959 was a major event in the company's history.

In 1962, Schroders acquired Helbert, Wagg & Co, a leading issuing house.

Schroders disposed of Schrobanco, its commercial banking arm in New York, in 1986 and acquired 50% of Wertheim & Co, a mid-tier New York based investment bank, the same year.

The company played a leading role in the UK Government's privatisations in the 1980s and grew dramatically under Winfried Bischoff.

Schroders was worth £30 million when Bischoff took over as CEO in 1984, but by 2000, the company had grown significantly and sold its investment banking division to Citigroup for £1.3 billion.

In 2013, Schroders purchased the capital management arm of Cazenove in a deal worth £424 million.

Schroders continued to expand its operations, buying the London-based Sandaire Investment Office in September 2020.

The company announced the launch of Schroders Capital in June 2021, unifying its specialist private assets capabilities.

In September 2024, Schroders named Richard Oldfield as its new CEO, succeeding Peter Harrison, effective November 8th.

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As of 31 December 2021, Schroders was responsible for managing assets worth £615.2 billion.

This staggering amount is a testament to the company's extensive reach and influence in the financial world. Schroders serves a diverse range of clients, including corporations, insurance companies, local and public authorities, charities, pension funds, high-net-worth individuals, and retail investors.

We're constantly innovating at Schroders, always thinking of new ways to use intelligent, active management to get our clients where they want to go. Our first pension fund mandate in the UK was won in 1947, and we've been pushing the boundaries of investment ever since.

From launching our first property fund in 1971 to introducing our Global Climate Change Equity fund in 2007, we've consistently sought out new opportunities for growth. Our diversified growth strategies and hedge fund expertise have been available to investors since 2006 and 2009, respectively.

Schroders Capital is the private markets investment division of Schroders plc, and we're registered as an investment adviser with the US Securities and Exchange Commission (SEC). We provide asset management products and services to clients in the United States and Canada, and for more information, you can visit our website at www.schroderscapital.com.

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We're constantly innovating, and that's no secret. Our first pension fund mandate in the UK was won back in 1947, showing just how long we've been pushing the boundaries of what's possible.

We've been at the forefront of innovation for decades, with a string of firsts under our belt. In 1971, we launched our first property fund to give investors access to alternative products.

Our diversified growth strategies were introduced in 2006, offering clients a new way to grow their investments. A year later, we took it up a notch with the launch of our Global Climate Change Equity fund.

In 2009, we launched GAIA, a platform that made it easier for investors to tap into hedge fund expertise. This was a major innovation in its time, and it's a testament to our commitment to staying ahead of the curve.

Today, our multi award-winning sustainability investment framework is embedded into our investment processes.

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We've expanded our reach through strategic partnerships that combine our investment expertise with our clients' distribution networks. This approach has given us access to new markets and customers.

Our partnership with the Bank of Communications in China was a significant milestone, achieved in 2005. We've also partnered with India's Axis Asset Management in 2012.

Our relationship with Hartford Funds in the US has led to 10 sub-advised strategies tailored for US customers. This partnership has been successful in delivering tailored solutions to a specific market.

Our joint venture with Nippon Life delivered benchmark-beating returns for clients in 2021. This achievement is a testament to the effectiveness of our partnership strategy.

We've also established a joint venture with Lloyds Banking Group, which employs over 600 financial advisors in the UK. This partnership has given us a strong presence in a key market.

For your interest: Joint Stock Companies Act 1856

Collaboration with universities is a key aspect of innovation and partnerships. Schroders has a history of collaborating with universities to advance its research and investment strategies.

In June 2014, Schroders' Multi-Asset Investments and Portfolio Solutions (MAPS) announced a collaboration with Professor Anthony G. Constantinides, Director of the Imperial College Financial signal processing Laboratory (FSP). This collaboration aimed to leverage the professor's expertise in financial signal processing to enhance MAPS' investment capabilities.

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At Schroders, they take a holistic approach to investing that goes beyond just profit. Their commitment to sustainability is well established, dating back to 2001 when they published their first responsible investment policy.

They use their role as an active investment manager to drive significant change by engaging with companies on strategic capital allocation decisions, which helps protect and enhance their clients' capital. This approach supports their ongoing strategy of helping clients meet their investment and climate goals.

In 2019, they acquired a majority stake in BlueOrchard, a leading impact investment manager and pioneer in microfinance, further solidifying their commitment to sustainability.

We're proud to say that our commitment to sustainability is well established, dating back to 2001 when we published our first responsible investment policy.

Our role as an active investment manager gives us the ability to drive significant change through engaging with companies on strategic capital allocation decisions.

In 2019, we acquired a majority stake in BlueOrchard, a leading impact investment manager and pioneer in microfinance.

We integrated environmental, social and governance – or ESG – analysis into our investment strategies a year later.

These moves support our ongoing strategy of helping our clients meet their investment and climate goals.

Please consider a fund's investment objectives, risks, charges and expenses carefully before investing.

The Schroder mutual funds are distributed by The Hartford Funds, a member of FINRA.

A significant number of participants in a half plan, which is a type of investment strategy that involves dividing a portfolio into two parts, would consider investing in private assets.

Investing in private assets is a key consideration for these participants, with 60% of them indicating a desire to do so.

Private assets can provide a hedge against market volatility and offer potential for long-term growth, making them an attractive option for investors.

In fact, 75% of participants in a half plan would prefer to allocate at least 20% of their portfolio to private assets.

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Schroders is delivering a strong performance across the board. Its asset management arm recorded a net operating income of £940.2m, up from £934.9m the prior year.

The firm's wealth management arm is also doing well, with £1.6bn of net new business, right in line with Schroders' annual target of 5-7 per cent.

The wealth management arm's assets under management (AUM) have increased to £145bn, a significant milestone.

A big factor in the wealth management arm's success is the acquisition of Benchmark, which delivered a third of the arm's net flows and also completed further acquisitions.

The company is also seeing improvements in efficiency, with net operating revenue increasing 9 per cent to £258.3m, thanks to reduced third-party costs driven by acquisitions.

Schroders is on track to deliver an in-year cost reduction of £50m, a key goal of its transformation plan.

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Schroders has been making a push to collaborate with universities, as seen in its partnership with Professor Anthony G. Constantinides and the Imperial College Financial Signal Processing Laboratory (FSP) in June 2014.

This collaboration is a great example of how Schroders is seeking out new ideas and expertise to stay ahead in the industry.

By working with Professor Constantinides and the FSP, Schroders is tapping into the latest research and knowledge in financial signal processing.

The firm has also been working on a transformation plan to adjust its portfolio and reduce costs.

As part of this plan, Schroders exited its real estate business in Munich and private credit business in Australia, and restructured its businesses in South Korea and China.

The company also wrote off its investment in a US credit originator as part of this transformation.

This plan is aimed at saving £150m and returning to profitable growth over a three-year period.

Schroders has made good progress against this plan, with operating expenses reduced by £21m.

The firm has also continued to reinvest, with £8m invested into selective hiring across the firm and in the development of its active ETF programme.

For another approach, see: International Business Companies Act

As a Schroders employee, you're part of a global investment company with a rich history dating back to 1804. The company has grown significantly over the years, with a current workforce of over 5,000 people.

Schroders has a strong commitment to diversity and inclusion, with a goal of having a workforce that reflects the communities it serves. This is evident in its efforts to increase the number of women in senior leadership positions.

One of the key benefits of working at Schroders is the opportunity to work on a wide range of investment products and services. This can help employees develop a broad range of skills and expertise.

Schroders has a strong focus on employee development, with a comprehensive training program that includes online learning, classroom training, and coaching. This helps employees build their skills and advance their careers.

The company has a flexible and remote-friendly work policy, which allows employees to work from anywhere and at times that suit them. This can be a major perk for employees who value work-life balance.