Investec profits have more than doubled in the first half of its new financial year.
Increased client activity and lower funding costs boosted profits at the FTSE 250 group, which is offering 15% of its 25% stake in asset manager Ninety One in shares to its shareholders.
Investec has announced an interim dividend of 11p.
CEO Fani Titi said: “We’re in the process of reducing our group portfolio to add further value to shareholders, now that we’ve seen a recovery in the level of uncertainty in the market, paired with our significant earnings recovery.”
“Due to that recovery, this 15 per cent was the surplus capital we could deploy, and we remain flexible about what we will do with the remaining 10 per cent in the future.”
“We maintain a level of conservatism for factors that remain difficult to model,” Titi told reporters, highlighting the firm’s caution around the remaining uncertainties in the economy’s recovery from Covid and expected market volatility.
“The changes made to simplify and focus the group are bearing fruit, positioning us well for the future.”