Trading Statement

RNS Number : 1965P
Liontrust Asset Management PLC
09 October 2019
 

Embargoed until 7am on 9 October 2019

 

Stock Exchange Announcement

LIONTRUST ASSET MANAGEMENT PLC

Half Year End Trading Update

 

Liontrust Asset Management Plc ("Liontrust"), the specialist independent fund management group, today issues its half year end trading update for the six months ended 30 September 2019.

 

Highlights

 

·    Assets under management ("AuM") were £14.6 billion as at close of business on 30 September 2019 (31 March 2019: £12.7 billion)

 

·    Net inflows of £642 million in the three months ended 30 September 2019 and £1,367 million for the six months ended 30 September 2019

 

·    £3.1 billion of net inflows in the past 18 months

 

·    Neptune Investment Management Limited ("Neptune") acquisition completed on 1 October 2019 adding £2.7 billion to AuM, taking Liontrust's AuM to £17.4 billion

 

·    The Neptune investment team has been renamed the Liontrust Global Equity team

 

Commenting, John Ions, Chief Executive, said:

 

"Liontrust continues to make substantial progress, delivering £642 million in net inflows over the past three months and completing the acquisition of Neptune on 1 October. This has sustained the growth of the business of the last few years, with net inflows of £1.37 billion over the past six months and £3.1 billion over the past 18 months.

 

These positive flows demonstrate the attraction of rigorous investment processes, strong long-term fund performance, a high-profile brand and the effectiveness of our sales and marketing.

 

The net inflows have been achieved at a time of uncertainty for retail investors in the UK. Equity funds in aggregate across the industry have had net outflows for 10 of the past 13 months1 while retail funds suffered total net outflows of £1.71 billion in August alone.

 

Liontrust has continued to grow in this environment because of the quality of the investment teams and our more diversified proposition, with flows into equity, fixed income, sustainable and multi-asset portfolios that meet ever more demanding client requirements.

 

Our investment capability is being broadened further with the addition of the Neptune investment team, now known as the Liontrust Global Equity team. We have been impressed by the quality of the team, and they bring an excellent range of funds with strong long-term performance.

 

Liontrust Income is ranked 2nd out of 79 funds in the IA UK Equity Income sector over three years to 30 September 2019. Liontrust Global Alpha is ranked 1st, Liontrust Global Dividend is 2nd, Liontrust Global Technology is 4th and Liontrust Balanced is 3rd in their respective IA sectors over three years2.

 

Liontrust provides the team with an environment that will enable them to concentrate on delivering returns and meeting the expectations of clients and investors. 

 

Our business has moved forward strongly over the last few years and is well positioned to continue this growth with an excellent investment proposition and our continued focus on client service."

 

1 Source: IA to the end of August 2019.

 

2 Source: Financial Express to 30 September 2019 as at 8 October 2019, bid-bid, total return, net of fees, based on primary share classes. Past performance is not a guide to future performance, investments can result in total loss of capital. Liontrust Global Alpha is in the IA Flexible Investment sector, Liontrust Global Dividend is in the IA Global Income sector, Liontrust Global Technology is in the IA Technology and Telecoms sector and Liontrust Balanced is in the IA Mixed Investment 40-85% Shares sector.

 

Funds under Management

 

On 30 September 2019, our AuM stood at £14,649 million (excluding Neptune AuM) and were broken down by type and process as follows:-

 

Process

Total

Institutional

UK Retail

Multi-Asset

Offshore Funds

 

(£m)

(£m)

(£m)

(£m)

(£m)

Cashflow Solution

985

550

348

-

87

Economic Advantage

7,029

234

6,644

-

151

Macro Thematic

124

-

124

-

-

European Income

164

-

164

-

-

Asia

125

-

109

-

16

Sustainable Investment

4,612

33

4,327

-

252

Global Fixed Income

671

-

304

-

367

Multi-Asset

939

-

-

939

-

Total - 30 September 2019

14,649

817

12,020

939

873

 

 

Global Equity3

2,733

339

2,394

-

-

Total including Global Equity

17,382

1,156

14,414

939

873

 

3 Neptune acquisition completed on 1 October 2019 adding £2,733 million to AuM (close of business 30 September 2019), taking Liontrust's AuM to £17,382 million.

 

Funds Flows

 

The net inflows over the three months to 30 September 2019 are £642 million (2018: £403 million). A reconciliation of fund flows and AuM over the three months to 30 September 2019 is as follows:-

 

Total

Institutional

UK Retail

Multi-Asset

Offshore Funds

 

£m

£m

£m

£m

£m

 

 

 

 

 

 

Opening AuM - 1 July 2019

14,097

845

11,569

899

784

 

 

 

 

 

 

Net flows

642

(17)

542

33

84

 

 

 

 

 

 

Market and Investment performance

(90)

(11)

(91)

7

5

 

 

 

 

 

 

Closing AuM - 30 September 2019

14,649

817

12,020

939

873

 

Liontrust has recorded net inflows for the half year of £1,367 million (2018: £723 million). A reconciliation of fund flows and AuM over the half year is as follows:-

 

 

Total

Institutional

UK Retail

Multi-Asset

Offshore Funds

 

£m

£m

£m

£m

£m

 

 

 

 

 

 

Opening AuM - 1 April 2019

12,655

845

10,317

844

649

 

 

 

 

 

 

Net flows

1,367

(44)

1,174

61

176

 

 

 

 

 

 

Market and Investment performance

627

16

529

34

48

 

 

 

 

 

 

Closing AuM - 30 September 2019

14,649

817

12,020

939

873

 

Fund Performance (Quartile ranking)

 

Quartile ranking - Since Launch/Manager Appointed

Quartile ranking - 5 year

Quartile ranking - 3 year

Quartile ranking - 1 year

Launch Date/Manager Appointed

Liontrust UK Growth Fund

1

1

1

2

25/03/2009

Liontrust Special Situations Fund

1

1

1

2

10/11/2005

Liontrust UK Smaller Companies Fund

1

1

1

2

08/01/1998

Liontrust UK Micro Cap Fund

1

-

1

1

09/03/2016

Liontrust Macro Equity Income Fund

1

3

3

1

31/10/2003

Liontrust Macro UK Growth Fund

2

4

4

3

01/08/2002

Liontrust European Growth Fund

1

2

4

4

15/11/2006

Liontrust Asia Income Fund

2

2

4

2

05/03/2012

Liontrust European Income Fund

4

4

4

2

15/12/2005

Liontrust European Enhanced Income Fund (Hedged)

4

4

4

2

30/04/2010

Liontrust Global Income Fund

4

4

4

3

03/07/2013

Liontrust Monthly Income Bond Fund

2

3

1

4

12/07/2010

Liontrust SF Absolute Growth Fund

3

1

1

1

19/02/2001

Liontrust SF Corporate Bond Fund

1

1

1

3

20/08/2012

Liontrust SF Cautious Managed Fund

1

1

1

1

23/07/2014

Liontrust SF Defensive Managed Fund

1

1

1

1

23/07/2014

Liontrust SF European Growth Fund

2

2

3

1

19/02/2001

Liontrust SF Global Growth Fund

3

1

1

1

19/02/2001

Liontrust SF Managed Fund

2

1

1

1

19/02/2001

Liontrust UK Ethical Fund

2

1

1

1

01/12/2000

Liontrust SF UK Growth Fund

2

1

1

2

19/02/2001

 

Source: Financial Express to 30 September 2019 as at 3 October 2019, bid-bid, total return, net of fees, based on primary share classes.  Past performance is not a guide to future performance, investments can result in total loss of capital. The above funds are all UK authorised unit trusts or UK authorised ICVCs (primary share class).

 

Notice of Half Year Results Announcement

 

Liontrust confirms that it will be announcing its half year results for the six months ended 30 September 2019 on Wednesday, 20 November 2019.

 

For further information please contact:

Liontrust Asset Management Plc                              020 7412 1700

John Ions                                                                        www.liontrust.co.uk

Vinay Abrol

Simon Hildrey - Chief Marketing Officer

 

N+1 Singer Advisory LLP                                               020 7496 3000

Corporate Broking- Tom Salvesen

 

Numis Securities Limited                                              020 7260 1000

Corporate Broking & Advisory - Charles Farquhar

 

Macquarie Capital (Europe) Limited                           020 3037 2000

Advisory - Jonny Allison, Kavita Choitram
Corporate Broking - Alex Reynolds

 

Forward Looking Statements

This announcement contains certain forward-looking statements with respect to the financial condition, results of operations and businesses and plans of Liontrust. These statements and forecasts involve risk and uncertainty because they relate to events and depend upon circumstances that have not yet occurred. There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by these forward-looking statements and forecasts. As a result, the Liontrust's actual future financial condition, results of operations and business and plans may differ materially from the plans, goals and expectations expressed or implied by these forward-looking statements.  Liontrust undertakes no obligation publicly to update or revise forward-looking statements, except as may be required by applicable law and regulation (including the Listing Rules of the Financial Services Authority).  Nothing in this announcement should be construed as a profit forecast or be relied upon as a guide to future performance.

                                                                                                                                                                               

Other information

The release, publication, transmission or distribution of this announcement in, into or from jurisdictions other than the United Kingdom may be restricted by law and therefore persons in such jurisdictions into which this announcement is released, published, transmitted or distributed should inform themselves about and observe such restrictions. Any failure to comply with the restrictions may constitute a violation of the securities laws of any such jurisdiction.

 

ENDS


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