AUM update

RNS Number : 8125T

Polar Capital Holdings PLC

09 October 2014

 



09 October 2014

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").

Group AUM (unaudited)

Polar Capital is pleased to report a further increase in its AUM over the six month period through to the end of September 2014 to $13.4bn, an increase of 1% over the $13.2bn reported at 31 March 2014 and an increase of over 17% from the $11.4bn reported at September 2013.

The table below sets out the movements in the Group's AUM over the six month period:

AUM movement Six months to 30 September 2014	Long only funds $m	Alternative funds $m	Total $m
As at 31 March 2014	$12,315m	$934m	$13,249m
Net subscriptions / (redemptions)	$(425)m	$117m	$(308)m
Closure of EMN team	nil	$(67)m	$(67)m
Market movement and performance	$549m	$(1)m	$548m
Total AUM at 30 September 2014	$12,439m	$983m	$13,422m

Comment

There remains considerable uncertainty over the direction of the Japanese equity market and this has resulted in material outflows from our Japan UCITS fund over the last two quarters following the exceptional growth we had experienced in previous years. However, strong inflows into a number of our other products over the September quarter and a general improvement in markets since 31 March 2014 have allowed us to increase assets once again over the latest six month period.

At the end of the period we were delighted to announce the arrival of two new teams into the Polar stable, namely Guy Rushton (from Legal & General) heading up a UK Absolute Equity team and Nick Davis (from Threadneedle) heading up a European Income franchise.  A UCITS product has already been launched for Guy and it is anticipated that early in the next quarter a UCITS sub fund will be launched for Nick.

We have been consistent in signalling our short term caution regarding the AUM growth of the Group given the uncertainty in the outlook for the Japanese market. Nevertheless, we believe over the medium term the Group is well placed to grow assets further, given we have a number of products that have considerable scope for more capacity and assuming no meaningful deterioration in the overall outlook for global equity markets.

Net performance fees (unaudited)

The table below sets out the position relating to net performance fees (after the deduction of staff interests) earned and accrued in the first six months of the Group's financial year. The majority of the Group's performance fees crystallise in the second half of the financial year.

Performance fees net of staff allocations	Six months to 30 Sept 13 £m	Year to 31 Mar 14 (year-end) £m	Six months to 30 Sept 14 £m
Received	£0.0m	£7.6m	£0.0m
Accrued but not yet earned in funds with year ends on or before the financial year end	£4.5m	n/a	£4.2m
Total net performance fees	£4.5m	£7.6m	£4.2m

For further information please contact:

Polar Capital Tim Woolley (CEO) John Mansell (CFO)	[phone]
Canaccord Genuity - Nomad and Broker Simon Bridges  (QE) Martin Green Cameron Duncan	[phone]
Camarco Ed Gascoigne-Pees	[phone]

 

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