AUM Update

RNS Number : 1145E

Polar Capital Holdings PLC

14 July 2016

 

14 July 2016                                      

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 reports that as at 30 June 2016 its AUM were $9.6bn (£7.3bn) compared to $10.4bn (£7.3bn) at the end of March 2016.

AUM movement in three months to 30 June 2016	USD			GBP
	Long only Funds	Alternative funds	Total	Long only funds	Alternative funds	Total
AUM at 31 March 2016	$9,378m	$1,054m	$10,432m	£6,531m	£734m	£7,265m
Net subscriptions / (redemptions)	$(634)m	$(24)m	$(658)m	£(442)m	£(17)m	£(459)m
Market movement and performance	$(99)m	$(53)m	$(152)m	£426m	£19m	£445m
Total AUM at 30 June 2016	$8,645m	$977m	$9,622m	£6,515m	£736m	£7,251m

Comment

Our AUM in GBP terms, the currency of our financial statements, were flat at the end of June 2016 compared to the level reported at the start of our financial year.  As highlighted in our latest results, we have experienced a protracted period of redemptions from our main Japan UCITS fund which accounted for the majority of our outflows during the most recent quarter, following the fund's extended period of disappointing performance.  As the majority of our AUM are non-sterling, these outflows were largely offset by a favourable movement in sterling against other major currencies following the outcome of the Brexit referendum and some modest inflows into a number of our other funds.

In USD terms, the positive currency effect from the Brexit referendum had no impact and this resulted in our AUM falling by 8% compared to the level reported at the end of March 2016.

Uncertainty ahead of the Brexit vote caused a number of our clients to postpone their fund allocation decisions during the quarter. Whilst the outcome of the referendum surprised many in our industry and has created a further degree of uncertainty, the reaction of markets has been more encouraging than the consensus view anticipated and clients seem more disposed to make allocation decisions as a result. We remain encouraged by the interest clients are showing in a number of our funds beyond Japan.

For further information please contact:

Polar Capital Tim Woolley (CEO) John Mansell (COO)	[phone]
Canaccord Genuity - Nomad and Joint Broker Simon Bridges  (QE) Kit Stephenson	[phone]
Peel Hunt - Joint Broker Guy Wiehahn	[phone]
Camarco Ed Gascoigne-Pees	[phone]

 

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