CCAP.L Regulatory News (CCAP)

9 Jul 2009 07:00



9 July 2009

Charlemagne Capital Announces Unaudited Revenues and Assets under Management for the Six Months Ended 30 June 2009

Charlemagne Capital Limited ("Charlemagne" or the "Group") sets out below the key revenue items and Assets under Management ("AuM") for the first six months of its current financial year. It is expected that the interim financial results will be announced on 23 September 2009.

Key highlights and Group AuM

Good recovery in emerging markets in the first half of the year

Group AuM total up 28.2% since 31 March 2009 to US$2.4 billion as at 30 June 2009.

Group AuM total up 9.0% since 1 January 2009. 

Excellent long-term fundamentals for these markets

The table below sets out the Group's AuM as at 30 June 2009 and the movements experienced in each product range in the period since 1 January 2009. 

Notes

Closing AuM is stated as including all subscription and redemption orders received for the relevant funds as at the close of the period but not processed until the first dealing date of the following period.

Unaudited revenue numbers for the six months ended 30 June 2009 

Net management fees receivable were US$8.2 million compared with US$25.1 million for the first six months of 2008, reflecting the lower average AuM in the first half of 2009. 

Crystallised performance fees were US$0.3 million compared with US$3.3 million for the comparative period in 2008. Accruing performance fees which have not crystallised were US$0.9 million compared with US$1.2 million as at the same date in 2008. 

Performance fees accrue throughout the reporting period in the accounts of each relevant fund. It is the Group's accounting policy only to recognise such revenues as they crystallise at the year-end date of the fund or, in certain cases, on redemption. Levels of accrued performance fees at any particular time should not be seen as necessarily indicative of the eventual crystallised figures, especially in periods of above average market volatility. 

Dividend policy 

In the absence of unforeseen circumstances, the Group intends to declare an ordinary interim dividend in respect of the six months to 30 June 2009. Further details will be provided in the interim results announcement. 

Summary

Emerging markets have made a good recovery in the first half of this year, following the very sharp falls of the second half of 2008. This is partly a reaction to the savage falls that preceded the rally but also, in our view, a result of a growing recognition that emerging economies are poised to become a much more significant force in the world from now on. While developed economies are likely to see structurally lower growth, due to their heavy debt burdens, emerging markets are generally much less indebted. Our discussions with investors and their advisors indicate that strategic asset allocation will increasingly focus on emerging markets. Hence, the strong long-term fundamentals remain intact and Charlemagne is well positioned to benefit from the opportunities presented in the asset class. 

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