Standard Life’s new boss Keith Skeoch warns of choppy markets ahead of interest rate risesComments Off on Standard Life’s new boss Keith Skeoch warns of choppy markets ahead of interest rate rises
Skeoch, who runs the company’s £250 billion asset management arm, is set to take over from David Nish as head of the FTSE 100 giant this month.
“People are worrying about the impact of rising interest rates and they are also worrying about China and commodity prices,” he said.
“It’s a bit like when JP Morgan was asked what the markets would do and he said: ‘I think they will fluctuate.’
“I think that’s what will happen between now and the end of the year.”
Nish oversaw his final set of results today after six years as chief executive.
Operating profits were up 6% to £290 million, in line with City forecasts, and fee-based revenue was up 17% to £761 million.
The latter figure has become increasingly important to Standard Life in recent years as it changes from an insurer into an asset management-dominated business.
Standard Life shares fell more than 3% to 440p.
However, Barrie Cornes, an analyst at Panmure Gordon, said: “The outlook remains upbeat with the growth and Standard Life Investments overseas and UK auto enrolment performing well.
“We wonder if there is any M&A on the horizon but there is nothing in these results to suggest that this might be the case.”