Liontrust sheds £1.6bn in three months as investors flee volatility
Asset manager Liontrust said more than £1.6bn had been pulled from its funds in the past three months as investors continue to flee the markets and shield their cash from volatility.
The FTSE 250 London-listed investor said that outflows had picked up in the second quarter of the year as it haemorrhaged more than £2.2bn in total in the first six months.
Asset managers have been bleeding cash this year as inflation and the ripples of war in Ukraine have shaken markets globally and caused investors to pull back.
Total assets at Liontrust slid to £31.7bn at the end of September – down 5.5 per cent over the year in total.
Liontrust chief John Ions said it was now a “new environment” for asset managers as they grappled with volatility in the market.
“After decades of low inflation and cheap liquidity, we have entered a new environment for investors,” he said.
“In the future, successful asset managers will be those that excel at distribution, have a strong brand and are innovative at product development for multiple distribution channels, in addition to strong investment management.”
He added that he was positive about the firm’s longer term outlook however.
Shares in Liontrust dipped beyond two per cent last year before recovering to trade down 1.46 per cent as of 11:20.