26 May 2011
Key points - financial
- Statutory profit before tax from continuing operations of $324 million (2010: $541 million), ahead of pre-close estimate of $280 million after strong investment performance in the last week of March and an adjustment to the GLG acquisition balance sheet
- Adjusted profit before tax from continuing operations of $599 million (2010: $560 million)
- Diluted statutory EPS from continuing operations of 14.0 cents per share (2010: 24.8 cents per share); adjusted EPS of 27.6 cents per share (2010: 25.5 cents per share)
- Financial position remains strong: current regulatory capital surplus estimated at around
$900 million (31 March: $650 million); net cash of $900 million (31 March: $881 million)
- Board to recommend final dividend of 12.5 cents per share to bring total dividend for the year to 22 cents per share.
Key points – operating
- Funds under management (FUM) currently estimated at $71 billion (31 March 2011: $69.1 billion), reflecting positive flows despite recent demanding performance environment.
- Strong net inflows since year end include $2 billion from Nomura Global Trend and $400 million from Man IP220 GLG, the first guaranteed product to include GLG strategies.
- Continuing to build a diverse range of strategies and formats to meet global investor needs: over $10 billion under management in UCITS formats; $1.3 billion under management in Man Systematic Strategies
- Expanding global footprint: moving investment management closer to markets (e.g. Hong Kong); launch of AHL renminbi share class
Peter Clarke, Chief Executive of Man, said:
“Over the last year we have built Man into the industry’s most comprehensive provider of liquid alternative investment styles. We acquired and integrated GLG without disruption to investment performance or flows, continued to expand the range of our investment management capabilities, and developed new products and formats. Combined with the wide geography of our franchise, this has resulted in strong demand from institutions and private investors globally, and growing assets under management. Our recent AHL open-ended launch in Japan, which has now raised $2 billion, is a clear example of this momentum and is being followed by a Japan GLG currency launch.
“Macro uncertainty has impacted markets and performance across most asset classes again recently, reinforcing investors' long-term focus on liquid and diversifying investment strategies. Man is positioned to address these requirements through our focus on performance, our wide range of investment strategies, and the scale and resources we can apply to producing solutions for investor portfolios across the world. We are very well placed to meet investor demand."