Polar Capital Holdings plc, the UK-based specialist asset management group, has released a trading update for the year ended 31 March 2007 showing AuM of USD 3.4 billion, an increase of 38.6 per cent since 31 March 2006.
The traded update was released in advance of the Company's preliminary results, scheduled to be announced on 26 June 2007.
For the year, the Company experienced a net inflow of funds of approximately USD 700 million primarily into the firm's portfolio of hedge funds.
It is expected that profit before tax for the year ended 31 March 2007, prior to IPO costs, will exceed GBP 11 million.
Commenting on the trading update, Mark Kary, Chief Executive of Polar Capital said: 'Over the past 12 months we have entered a significant seeding arrangement with XL Capital to enhance our ability to launch new funds (six new funds have been launched this year) and completed a successful IPO on AIM. The 38.6% increase in funds under management to USD 3.4 billion, the continued performance of our product range and our strong operational infrastructure position us well for future growth.'
Polar Capital was founded in December 2000 by Brian Ashford-Russell and Tim Woolley who were previously responsible for the management of Henderson Global Investors' technology funds. Caledonia Investments plc became a founding shareholder and Polar Capital's corporate structure was established and received regulatory approval in January 2001.
Mark Kary joined as CEO from Morgan Stanley in April 2005 to lead the Company's next stage of development and in October 2006 the Company entered into a seeding agreement with a subsidiary of XL Capital Ltd which has committed to provide up to USD 175m in investment seed capital to support the
launch of certain new funds.
Today Polar Capital has a staff of 54 of whom 29 are investment professionals managing 16 funds, one managed account and two advisory relationships. These funds, which are aimed at institutional and professional investors, have combined assets under management at 31 March 2007 of USD 3.4bn. Polar Capital's first business unit focused on the technology sector, and subsequent recruitment resulted in the establishment of the Japan and UK teams (2001), Europe (2003), Global Emerging Markets (2004), Utilities (2005), and Macro and Global Opportunities (2006).