F&C Asset Management plc Annual Report and Financial Statements 2012
Business Review Our year in brief
Executive Chairman’s Statement This is F&C
Executive management Our strategy Managing risk
Our view of the market
Our trading performance and outlook Our financial performance
Our strategic approach and commitment to corporate responsibility
Governance Company Directors
Report of the Directors
Directors’ Report on Corporate Governance Directors’ Remuneration Report
Statement of Directors’ Responsibilities
01 02 05 07 08 10 12 13 15
18
Financial Statements Independent Auditor’s Report
Consolidated Income Statement
40 42
Consolidated Statement of Comprehensive Income 43 Consolidated Statement of Financial Position Consolidated Statement of Changes in Equity Consolidated Statement of Cash Flows Accounting Policies
Notes to the Consolidated Financial Statements Five Year Record
44 45 46 47 55
117
Reconciliations of reported to underlying earnings 118 Company Balance Sheet
Company Accounting Policies Notes to the Company Financial Statements
20 21 26 33 39
Shareholder Information Notice of Annual General Meeting
Notice to US Shareholders Corporate Information
121 122 125
134 138 139
Forward-looking statements
This Annual Report and Financial Statements may contain certain “forward-looking statements” with respect to certain of the Group’s plans and its current goals and expectations relating to its future financial condition, performance, results, strategy and objectives. Statements containing the words “believes”, “intends”, “expects”, “plans”, “seeks” and “anticipates”, and words of similar meaning, are forward-looking.
By their nature, all forward-looking statements involve risk and uncertainty because they relate to future events and circumstances which are beyond the Group’s control including among other things: UK domestic and global economic and business conditions; market-related risks such as fluctuations in market indices, interest rates and exchange rates, and the performance of financial markets generally; the policies and actions of regulatory authorities; the impact of competition, inflation and deflation; the timing, impact and other uncertainties of future acquisitions or combinations within relevant industries; estimates of assets to be managed for strategic partners or other clients in the future; and the impact of changes in capital, solvency,
accounting standards, tax and other legislation and regulations in the jurisdictions in which the Group operates.
As a result, the Group’s actual future financial condition, performance and results may differ materially from the plans, goals, and expectations set forth in the Group’s forward-looking statements. F&C undertakes no obligation to update the forward-looking statements contained in this Annual Report and Financial Statements. Nothing in this publication should be considered as a profit forecast.
Definitions
“F&C, FCAM, Group or Company” F&C Asset Management plc and its subsidiaries
“FL”, “FL Group” Friends Life and its subsidiaries
“F&C GH” F&C Group (Holdings) Limited and its subsidiaries
“F&C REIT” F&C REIT Asset Management LLP and its subsidiaries
“REIT” REIT Property Asset Management LLP and its subsidiaries
“Sherborne or the Sherborne Group” Sherborne Investors (Guernsey) GP, LLC (Sherborne GP), SIGA, LP (SIGA), Sherborne Investors (Guernsey) A Limited, Sherborne Investors Management (Guernsey) LLC and Sherborne Investors LP
“Thames River” or “TRC” Thames River Capital Group Limited and its subsidiary companies or limited liability partnerships (LLPs) which are consolidated within the Group
“NCI” Non-controlling interests
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96 |
Page 97 |
Page 98 |
Page 99 |
Page 100 |
Page 101 |
Page 102 |
Page 103 |
Page 104 |
Page 105 |
Page 106 |
Page 107 |
Page 108 |
Page 109 |
Page 110 |
Page 111 |
Page 112 |
Page 113 |
Page 114 |
Page 115 |
Page 116 |
Page 117 |
Page 118 |
Page 119 |
Page 120 |
Page 121 |
Page 122 |
Page 123 |
Page 124 |
Page 125 |
Page 126 |
Page 127 |
Page 128 |
Page 129 |
Page 130 |
Page 131 |
Page 132 |
Page 133 |
Page 134 |
Page 135 |
Page 136 |
Page 137 |
Page 138 |
Page 139 |
Page 140 |
Page 141 |
Page 142 |
Page 143