Investec operating profits 'comfortably ahead'

Investec said it expected operating profits for the six months to the end of September to be comfortably ahead of the prior period. Investec said it had continued to see macro uncertainty in its key operating geographies during the period.

A pre-close briefing statement said: 'The UK economy has been growing at a slower pace, with the increase in inflation squeezing household spending whilst Brexit continues to create uncertainty.

'The South African economy came out of recession in the second quarter but business and consumer confidence remain low and the political environment remains challenging. This has been somewhat offset by supportive global markets and an improved outlook for the global economy.

'Against this backdrop, the Wealth & Investment business is expected to report results comfortably ahead of the prior period, while the Asset Management division is expected to report results in line with the prior period.

'Both divisions have benefitted from higher levels of average funds under management supported by favourable equity markets and sound net inflows.

'The Specialist Banking business is expected to report results ahead of the prior period.

'The South African Specialist Banking business is expected to report results well ahead of the prior period, while the UK Specialist Banking business is expected to report results well behind the prior period.'

At 9:24am: (LON:INVP) Investec PLC share price was -2.5p at 566.5p