AUM beats forecast again, driven by strong flows

Tatton’s FY26 Trading Update indicates that results will be ahead of market expectations, showing continued strategic momentum and strong underlying flows, while maintaining a confident outlook despite a more uncertain market backdrop. Net flows were strong all year, but even stronger in H2.

FY26 revenue is expected to exceed £53m, above our forecast of £51.6m, with adjusted PBT likely above £27m (versus our forecast of £26.3m).

Performance was driven by robust and accelerating underlying net inflows, with current flow rates running above our FY27 forecast, alongside continued growth in the IFA base and solid momentum within Paradigm.

We maintain our fair value of 750p/share, which may prove conservative given current momentum, but will await FY results and management commentary in June before updating forecasts.