Last checked at 10 Jan 2019 07:00
10 January 2019
Polar Capital Holdings plc
AUM Update
Polar Capital Holdings plc ("Polar Capital" or the "Group"), the specialist asset management group, today provides its regular quarterly update of its unaudited statement of its assets under management ("AUM") and performance fees earned for the calendar year to 31 December 2018.
Group AUM (unaudited)
Polar Capital reports that as at 31 December 2018 its AUM were £12.7bn compared to £12.0bn at the end of March 2018.
AUM movement in nine months to 31 December 2018 | Long-only funds | Alternative funds | Total |
AUM at 1 April 2018 | £10,812m | £1,168m | £11,980m |
Net subscriptions | £524m | £122m | £646m |
Market movement and performance | £12m | £19m | £31m |
Total AUM at 31 December 2018 | £11,348m | £1,309m | £12,657m |
Comment
The Group has not been immune to the market correction that followed the last quarterly update and has had a challenging period. Although flows for the year remain positive, the Group experienced net outflows of £286m in the quarter and net reduction in AUM in the quarter of £1,770m through market movement and performance.
Despite the market's volatility and weakness, the Group has been able to hold on to a significant amount of the performance fees accrued as at the end of September. At the calendar year end, net performance fee profits of £23.6m have been received, a record figure that surpasses the £15.0m reported a year ago.
The Group is pleased to announce the January launch of two new funds within its UCITS umbrella; an Asian Stars Fund run by Jorry Noddekaer and his team and a Global Absolute Return Fund managed by David Keetley and his team.
The Group is also delighted to announce that Sandy Black has joined as Chief Investment Officer. The role will entail protecting clients' interests via independent review of Polar's investment teams as well as contributing to Polar's growth through the identification and selection of new investment strategies. Sandy was most recently at J O Hambro Capital Management Limited where he was employed in a similar role as Investment Director.
Net performance fees (unaudited)
The table below sets out the position relating to net performance fee profits (after the deduction of staff interests) earned in the first nine months of the Group's financial year.
Performance fee profit net of staff allocations | Nine months to 31 Dec 17 | Year to 31 Mar 18 (year-end) | Nine months to 31 Dec 18* |
Net performance fee profit | £15.0m | £15.0m | £23.6m* |
\* The figures to December 2018 are enhanced by what is expected to be circa £3m of amounts deferred as IFRS requires the cost of such amounts to be spread over the period of deferment. The amount of net deferral will be reflected in the Adjusted Earnings Per Share figure that will be reported at the financial year-end.
For further information please contact:
Polar Capital Gavin Rochussen (Chief Executive)John Mansell (COO) | +44 (0)20 7227 2700 |
Numis Securities Limited - Nomad and Joint Broker Charles Farquhar Stephen Westgate Kevin Cruickshank (QE) | +44 (0)20 7260 1000
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Peel Hunt LLP - Joint Broker Guy Wiehahn |
+44 (0)20 7418 8893 |
Camarco Ed Gascoigne-Pees
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+44 (0)20 3757 4984 |