30 September 2009
- Funds under management at 30 September 2009 estimated at $43.8 billion (30 June 2009: $43.3 billion)
- Sales for the period of an estimated $5.7 billion, including $2.0 billion in the second quarter from across the distribution network
- Significant improvement in redemption rates: $0.8 billion from private investors and $1.7 billion from institutions in the second quarter
- Investment performance added an estimated $0.6 billion to funds under management in the second quarter, driven by positive performance in the multi-manager business and an improvement in managed futures
- Profit before tax of an estimated $280 million
- Diluted earnings per share on total operations of around 12.5 cents
- Financial position remains very strong, with the regulatory capital surplus in excess of $1.5 billion at 30 September 2009
|Funds under management
(end of period)
|Net management fee income||240m||316m||569m|
|Net performance fee income||30m||198m||160m|
|Profit before tax and exceptional items||270m||514m||729m|
* For the six months to 30 September 2009, exceptional items include a net gain of $34 million on sale of the residual holding in MF Global, partly offset by redundancy and other restructuring costs.
A conference call for investors and analysts will be held at 08:00 UK time this morning. Access numbers are included at the end of this release. Man Group will announce its interim results on 5 November 2009.
Peter Clarke, Chief Executive of Man, said:
"Our assets under management have increased in the second quarter of the financial year and private investor inflows have remained strong across the first half. Redemption rates have also continued to improve, substantially so amongst institutional investors.
“These developments are consistent with our expectations for the period and reflect the wide geographic spread of our investors and Man’s differentiation through its scale and resources. Investors are increasingly selective as they assess their portfolio needs and reassess investment management providers. They continue to focus on transparency, liquidity and, increasingly, onshore product offerings for accessing hedge fund returns. Man's established presence in these markets, our capital strength and long-standing relationships with global regulators continue to create substantial advantage in this changed environment.
“There has been significant progress across our business over the summer. We have launched new products and entered new markets to meet increasing investor demand for onshore regulated products. Two new AHL UCITS funds are launching in Europe; we have had new regulated product approvals in our existing European and Asia Pacific markets; and we have launched the first onshore product in Taiwan. We have completed the establishment of our new multi-manager business, continued to expand our managed account platform to enhance investor transparency and control, and are seeing strong levels of institutional investor interest.
“Investor sentiment is continuing to improve across the industry, the performance outlook is healthy and the prospects for sustained industry inflows are very promising. With significant momentum across the business, new products and new market opportunities, Man is strongly positioned for growth.”