The advice arm of investment manager Aberdeen reported net outflows of £0.8bn for the fourth quarter.
The outflows were a slight improvement on the £0.9bn reported for the same quarter in 2024, despite the impact of higher redemptions ahead of the Budget.
However, fourth quarter net outflows increased from the £0.5bn reported in the previous quarter.
Full year outflows for the advice arm were £2.2bn, in comparison to outflows of £3.9bn in 2024, an improvement of 44% which Aberdeen attributed to a focus on service and repricing.
Assets for Aberdeen Adviser rose 7% year on year to £80.4bn (31 December 2024: £75.2bn). Market and other movements contributed £2.2bn to Adviser assets in the fourth quarter and £7.4bn over the 2025 financial year.
Jason Windsor, CEO of Aberdeen Group, said Aberdeen was in much better shape than it was a year ago.
He said: "Adviser saw flows improve by more than 40% over the 12 months. Service levels have got better, and in December we launched our Aberdeen SIPP, as we seek to return to growth in 2026. However, as previously flagged, flows in Q4 were impacted by the uncertainty leading up to the UK Budget - which led to an increase in customer withdrawals.”
The Adviser arm also saw an improvement in its net promoter score to +45 for 2025 (2024: +34).
Elsewhere in the group, total assets under management and advice rose 9% to £556bn (31 December 2024: £511bn), which Aberdeen attributed to benefiting from positive market conditions.
The investment manager’s Interactive Investor platform saw customers rise 14% (year on year) to pass 500,000. Net inflows were £1.4bn for the fourth quarter.
The group’s core Investments arm saw a 6% rise in assets to £390.4bn (31 December 2024: £369.7bn). Net outflows of £3bn for the quarter included a £4.5bn low margin quants withdrawal.
Net outflows in equities in Q4 were £0.9bn, a 40% improvement year on year. Aberdeen noted that equity redemptions improved significantly but remain elevated.