Funds under management (FUM) at Man Group IMS totalled USD55 billion at 31 March 2014, up from USD54.1 billion at the end of December 2013, according to the company’s latest interim management statement.
Net inflows in the quarter totalled USD2.0 billion, comprising sales of USD6.5 billion and redemptions of USD4.5 billion with net inflows into GLG alternatives and long only funds being partially offset by net outflows from FRM funds and guaranteed products.
The group’s AHL Diversified programme was down 2.2 per cent in the quarter which was the main driver of the negative investment movement of USD0.3 billion in Quant alternatives strategies.
Performance in GLG alternative strategies was flat overall with positive performance in credit strategies being offset by negative performance in equity and macro strategies.
Performance at FRM was positive overall which increased FUM by USD0.1 billion in the quarter. FRM Diversified strategies were up 0.5 per cent in the quarter.
The majority of GLG Long only strategies had negative investment performance in the quarter. Japan CoreAlpha strategy was down 5.9 per cent which contributed to the majority of the negative investment movement of USD0.5 billion.
FX movements of positive USD0.3 billion in the quarter, driven by the weakening of the US dollar against the Japanese Yen.
Other negative movements of USD0.7 billion driven by guaranteed product degears of USD0.3 billion and product maturities and other movements of USD0.4 billion.
The group completed USD68 million of the USD115 million share repurchase programme announced on 6 March 2014 equating to 40 million shares.
Manny Roman, chief executive officer of Man, says: “The market environment in the first quarter has been particularly challenging and March was a very difficult month for the industry. In this context, performance across the firm was reasonable on a relative basis.
“Whilst we are pleased to have recorded a solid quarter of net inflows, we remain cautious in our outlook for asset flows for the rest of the year given recent mixed absolute investment performance.”