Ashmore survives market turmoil
UK - Asset manager Ashmore saw its assets under management (AuM) rise 16% to US$36.5bn (€24.5bn) between June 30 and the end of December last year.
Despite market turmoil the emerging markets specialist experienced a US$4.9bn increase, according to results released by the company today, and unconfirmed indicators are this is the rise is the result of both good returns and mandate wins.
Presenting its interim results for the last six months of 2007 today, the London-based company added "net subscriptions in the last six months of 2007 were US$2.6bn with a combination of subscriptions into existing funds and the launch of new funds and themes".
Ashmore booked a net investment performance for the period of US$2.3bn.
Graeme Dell, finance director at the company, told IPE in an interview the good results are a combination of mandate wins and investment performance.
"We have added some new themes and some new funds which have contributed £2.2bn of funds," said Dell, adding: "We have added a new access point for access point for investors through the permanent capital vehicle listed on the London Stock Exchange, the Ashmore global opportunities fund, which was £500m."
Net subscriptions into existing funds for that period were £400m, he added.
The company said it had a 68% increase in profit before tax, increasing to £100.9m in the six months to December 31, 2007 - a 68% increase on the same period in 2006.
"Total net revenue has increased to £123.5m resulting from strong growth in both management fee and performance fee categories over the equivalent period last year. Net management fees were £85.9m (2006: £55.8m) an increase of 54% driven by the continued AuM growth," said a statement by chief executive officer Mark Coombs.
Dell thinks the company's good performance is partly due to the way in which it moves its clients strategically towards different asset classes.
"Things like special situations and corporate high yield, those are asset classes where there is a real need for a track record within the local markets," he concluded.
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