Investec Thursday said pretax profit rose just 0.5% in fiscal 2011, as higher costs and a sharp increase in private banking bad debts offset profit growth in wealth and fund management.

The Anglo-African financial services company said pretax profit in the year to March 31 was £434.4m, compared with £432.3m in fiscal 2010, and in line with March guidance that it would be "marginally higher" than the previous year. The figure is before tax, goodwill and non-operating items and after minorities.