Jupiter warns of ‘challenging’ landscape as assets fall and outflows tick up
Funds group Jupiter warned economic uncertainty was continuing to weigh on investors’ appetite today as it reported a dip in its managed assets in the three months to the end of September.
The London-listed money manager said in a trading statement today that clients had pulled some £1bn from its funds in the third quarter of the year as its managed assets dipped from £51.4bn at the end of June to £50.8bn.
Jupiter has been among a host of London’s money managers to be hit by outflows over the past two years as investors flee the market amid the volatility triggered by Russia’s invasion of Ukraine and soaring inflation.
Bosses said in a statement today that flows from its institutional clients were “marginally positive” in the three months to the end of September but retail, wholesale and investment trust channel saw net outflows of £1bn over the three months.
“Despite the challenging market environment, we expect our financial performance for the current year to be in line with expectations,” said Matthew Beesley, Jupiter chief.
“During my first year as CEO, we have continued to make progress against our previously stated strategic objectives and I believe the continued investment in our clients, our technology and our people will deliver long-term value.”
The dip came after its assets ticked up to £51.4bn in the first half of the year while profits rocketed 56 per cent to £46.4m, up from £29.7m last year.
Beesley has pushed through a turnaround plan since taking over the reins last year and plaid out plans at its full year results to grow the firm, decrease complexity, broaden its “appeal to clients” and deepen “relationships with all our stakeholders”.
He said bosses had made “good progress” against the plans today, including “growing our institutional business, rationalising the fund range, developing new products and restructuring the operating mode”.