Schroders’ alternatives division, Schroders Capital, saw positive net flows of £2.3bn in the first half of 2025, according to the firm’s latest half-year results.
Assets under management (AUM) in the division grew slightly to £71bn, up from £70.1bn at the end of 2024. It achieved gross fundraising of £6bn, up 15 per cent from £5.2bn in H1 2024, with “particularly strong contributions from the private equity and private debt and credit alternatives pillars”.
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Net operating revenue for the division, including performance fees and carried interest, grew to £214.9m, up from £197.5m over the same period last year. The firm said this was driven by both the increase in AUM and strong net carried interest. Non-fee-earning dry powder stood at £4bn as of the end of June.
The business said to underpin its growth ambitions in Schroders Capital, it has hired additional specialists into its newly-established sales team this year, taking the team total to 34 against a target of 40.
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By the end of 2027, the business is aiming to generate cumulative net new business of £20bn in Schroders Capital. The firm recently completed the first close of its first UK innovation long-term asset fund at £500m.
“We remain confident in our strategy and the delivery of our transformation programme, which is already gaining traction. We are encouraged by the gross flows in the first half and the strength of the pipeline as it stands today,” the business said.
