Man Group, the alternative investment management company, has reported its final results for the nine months to 31 December, 2011 which are in line with expectations.
Assets under management have increased to around $59.5 billion and the company has reported a statutory profit before tax from continuing operations at $193 million (12 months ended 31 March 2011: $324 million).
The group has made a strong start to 2012, demonstrating the power of the combined business to counterbalance periods of weaker performance at its subsidary AHL.
AHL was 10.9% below high watermark on a weighted average basis on 27 February and at 24 February, 2012 two-thirds of GLG funds were above or within 5% of performance fee highs.
Funds under management at the end of February 2012 are estimated to be $59.5 billion, reflecting positive investment performance but slightly negative asset flows so far this year. Man AHL Diversified PLC was up 2.5% in the year to 27 February 2012.
Peter Clarke, Chief Executive of Man says: "More recently, we have seen a positive start to the year in the first two months of 2012. Assets under management have increased to around $59.5 billion at the end of February, principally as a result of performance, with strong returns at GLG and a smaller positive contribution from AHL. Investor sentiment has improved compared to the last quarter of 2011 and lower redemptions have driven a significant reduction in the rate of net outflows. But sentiment remains fragile and it is likely to take a longer period of stability in markets and continued performance before this translates into increased sales and net inflows. We have taken action to reduce costs while continuing to focus on meeting the needs of our investors, as we manage the growing demand for open-ended products as a proportion of total funds under management. Our financial strength, broad product range and comprehensive investor access mean that shareholders will benefit from any sustained momentum in market sentiment."
For 2012, the Group focuses on three priorities - investment performance, meeting client needs and efficiency.