UPDATE 1-Charles Stanley FUM rises 10 pct, Q1 rev up

* FUM 9.9 bln stg at June-end vs 9 bln stg at March-end

* Q1 rev rises 2.4 pct to 26 mln stg from year ago

* Says balance sheet is strong

* To take advantage of further acquisition opportunities (Adds details)

July 28 (Reuters) - British independent stockbroker Charles Stanley Group Plc (CAY.L) said on Tuesday business since March-end had performed solidly in markets that continued to be challenging and that funds under management rose 10 percent in the first quarter sequentially.

Income was resilient across its three divisions, private clients, financial services and Charles Stanley Securities, it said in a statement.

The company has strengthened its securities division with a number of new hires, it said.

Total client funds under investment management or administration at the end of the first quarter on June 30, were 9.9 billion pounds ($16.3 billion), compared with 9 billion pounds at March-end, Charles Stanley said.

In the first-quarter, revenue rose 2.4 percent to 26 million pounds from a year ago.

"It is difficult to predict how much longer the current conditions will prevail. However, with a strong balance sheet Charles Stanley is well placed to take advantage of further acquisition opportunities," the company said.

Charles Stanley shares closed at 238.50 pence on Monday on the London Stock Exchange. ($1=.6073 Pound) (Reporting by Shivani Singh in Bangalore; Editing by Gopakumar Warrier)