City Lon Inv Regulatory News (CLIG)

9 Mar 2009 07:00



9 March 2009

CITY OF LONDON INVESTMENT GROUP PLC

("City of London" or "the Company")

FUNDS UNDER MANAGEMENT AS AT 27 FEBRUARY 2009

City of London Investment Group PLC (AIM: CLIG), a leading emerging market asset management group, announces its total funds under management (FUM) quarterly. As at 27 February 2009, the FUM were US$2.19 billion (£1.54 billion). This compares to US$2.12 billion (£1.38 billion) at the Company's half year end on 30 November 2008, US$4.71 billion (£2.38 billion) at the 31 May 2008 year end and US$4.59 billion (£2.31 billion) on 29 February 2008.

In dollar terms the quarter on quarter increase in FUM of 3.3% compares with a fall of 5.1% in MSCI Emerging Markets Index (MXEF) during the same period. The year on year FUM decline, at 52.3%, compares with a 56.3% fall in MXEF. The difference reflects net new mandates and out-performance. New mandates won but not yet funded total US$280 million.

We remain unfashionably optimistic regarding our asset class. FUM have increased from a low in November of US$1.95 billion to the quarter end figure of US$2.19 billion. At the point of writing MXEF has not made new lows subsequent to October 2008, having in fact appreciated by around 7½%. This cannot be said of any of the developed markets which have fallen around 15%. Further, recently MXEF has out-performed the Dow, the S&P 500 Index and ACWI by a significant margin, these indices having each fallen by in excess of 10% relative to MXEF.

City of London expects to announce a trading update for the year to 31st May 2009 in early June 2009.

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