Investec is keeping its promises. Stephen Koseff, Ceo of the London-listed South African bank, said at the end of last year that impairments had peaked and the group had positioned itself for growth, ready “to move on to the front foot”.

Now Investec – which this year moved into the Footsie 100 – is ready to dance, as the annual results just announced show. Operating profit grew 9% but most importantly the bank’s strategy to diversify and rely less on lending is being implemented. Its asset management arm is booming, as profits increased by 26% and third-party AUM increased by 51 per cent. The capital markets business also grew by 27% while investment banking was the division that saw the biggest year-on-year gains with a 48% increase in profits.

By the end of June Investec will complete its acquisition of the British fund manager Rensburg Sheppard with a plan to keep the brand but build a bigger wealth and asset management platform. Headcount in these divisions is expected to rise over the next twelve months, despite the bank’s tight rein on costs.

“We are hiring selectively and bolstering certain divisions,” says Ursula Nobrega, head of investor relations at Investec in Johannesburg. “We plan to grow our asset management capability so we’ll hire individuals who come our way, not a whole host of people but some very good portfolio managers.” Remuneration, says Obrega, continues to be in line with profitability, with a portion of all bonuses paid in shares: “The only change is the deferred element is now deferred for two years instead of one.”

Koseff says he sees “good opportunities and growth potential right across the business,” but warns that “it is not going to be plain sailing. It is going to be a choppy world.” Analysts are more optimistic: “Investec has weathered the storm so well and are well positioned to come back,” says Kokkie Kooyman of Sanlam Investment Management. “Steven Koseff and managing director Bernard Kantor know what they are doing.”