Trading Update and Notice of Results

RNS Number : 0785C

Jupiter Fund Management PLC

14 January 2015

 

Jupiter Fund Management plc

Q4 Trading Update and Notice of Results

Trading Update and Notice of Results

14 January 2015

Jupiter Fund Management plc ("Jupiter", the "Group") today issues its trading update in respect of the three months to 31 December 2014.

HIGHLIGHTS

§ Assets under management ("AUM") increased to £31.9 billion as at 31 December 2014.

§ Net mutual fund inflows of £309 million in the three months to 31 December 2014.

§ Cumulative net mutual fund inflows of £1.4 billion in the year to 31 December 2014.

Maarten Slendebroek, Chief Executive, commented:

"Our core mutual fund franchise again delivered healthy net inflows this quarter, resulting in cumulative net inflows of £1.4bn across the year, an underlying organic growth rate of 6%. 2014 saw encouraging progress with the continuing diversification of our product and distribution capabilities and, together with the well-executed sale of our private client operations, Jupiter is well placed to deliver profitable growth at attractive margins."

ASSETS UNDER MANAGEMENT AND FLOWS

		30 September 2014 £m	Q4 net flows £m	Market movement £m	Private client transaction £m	31 December 2014 £m
	Mutual funds	26,387	309	848	n/a	27,544
	Segregated mandates	4,250	(716)	24	n/a	3,558
	Investment trusts	956	(219)	56	n/a	793
	Private clients	65	-	-	(65)	-
	Total	31,658	(626)	928	(65)	31,895

Net mutual fund inflows were £309 million during the fourth quarter, with top selling funds including Dynamic Bond, Strategic Bond, European Growth and UK Growth. Together with improved market levels, mutual funds AUM increased to £27.5 billion at 31 December 2014. Overall net outflows for the quarter were £626 million due to the previously notified loss of a single large segregated mandate and closure of the £234m Second Split investment trust. The table also reflects the transfer out of the remaining private client accounts this quarter following the sale to Rathbone Investment Management Limited on 26 September 2014.

Mutual funds contributed total net inflows of £1.4 billion for the full year, an organic growth rate of 6% on opening assets, helping total AUM increase to £31.9 billion at year end. This outcome is despite a number of conscious strategic decisions which reduced AUM but were taken to benefit Jupiter's future as a focused mutual fund provider, notably the sale of our private client operations, closure of sub-economic funds and continued pricing discipline within segregated mandates.

NOTICE OF RESULTS

Jupiter will be issuing its audited results for the year ended 31 December 2014 on 26 February 2015 and will host an analyst presentation to discuss the results at 9:00am. The presentation will be held at FTI Consulting, 200 Aldersgate, Aldersgate Street, London, EC1A 4HD.

OUTLOOK

We believe that our chosen savings markets offer the prospect of significant long-term growth. As we extend our relationships with key distributors on a global basis, we are confident we can continue to deliver profitable growth at attractive margins and, within our sustainable balance sheet structure, share the rewards of this growth with our investors.

For further information please contact:			Investors	Media
	Jupiter		Philip Johnson [phone]	Despina Constantinides [phone]
	FTI Consulting		Laura Ewart [phone]	Andrew Walton [phone]

Forward-looking statements

This announcement contains forward-looking statements with respect to the financial condition, results and business of the Group. By their nature, forward-looking statements involve risk and uncertainty because they relate to events, and depend on circumstances, that will occur in the future. Jupiter's actual results may differ materially from the results expressed or implied in these forward-looking statements. Nothing in this announcement should be construed as a profit forecast.

Historic flow and AUM data by quarter

3

	Flows and AUM by quarter
		Q1 2013 £m	Q2 2013 £m	Q3 2013 £m	Q4 2013 £m	Q1 2014 £m	Q2 2014 £m	Q3 2014 £m	Q4 2014 £m
	Total
	Opening AUM	26,268	29,138	29,045	29,889	31,659	32,211	33,105	31,658
	Gross inflows	1,726	1,729	1,618	1,782	2,320	2,543	2,239	1,956
	Gross outflows	(1,517)	(1,520)	(1,347)	(1,272)	(1,773)	(1,822)	(2,021)	(2,582)
	Net Flows	209	209	271	510	547	721	218	(626)
	Market / FX movements	2,661	(302)	573	1,260	5	173	(155)	928
	Private client transaction	n/a	n/a	n/a	n/a	n/a	n/a	(1,510)	(65)
	Closing AUM	29,138	29,045	29,889	31,659	32,211	33,105	31,658	31,895
	Mutual funds
	Opening AUM	20,572	22,885	22,730	23,336	24,760	25,195	25,761	26,387
	Gross inflows	1,572	1,493	1,535	1,627	1,970	2,095	2,069	1,917
	Gross outflows	(1,325)	(1,314)	(1,257)	(1,169)	(1,505)	(1,685)	(1,838)	(1,608)
	Net Flows	247	179	278	458	465	410	231	309
	Market / FX movements	2,066	(334)	328	966	(30)	156	(79)	848
	Private client transaction	n/a	n/a	n/a	n/a	n/a	n/a	474	n/a
	Closing AUM	22,885	22,730	23,336	24,760	25,195	25,761	26,387	27,544
	Segregated mandates
	Opening AUM	3,207	3,531	3,526	3,635	3,911	3,834	4,197	4,250
	Gross inflows	93	67	24	95	130	410	170	27
	Gross outflows	(149)	(167)	(52)	(40)	(216)	(84)	(182)	(743)
	Net Flows	(56)	(100)	(28)	55	(86)	326	(12)	(716)
	Market / FX movements	380	95	137	221	9	37	(61)	24
	Private client transaction	n/a	n/a	n/a	n/a	n/a	n/a	126	n/a
	Closing AUM	3,531	3,526	3,635	3,911	3,834	4,197	4,250	3,558
	Investment trusts
	Opening AUM	601	663	659	694	722	902	906	956
	Gross inflows	10	9	9	10	161	2	0	12
	Gross outflows	(1)	0	(3)	(3)	(2)	(3)	(1)	(231)
	Net Flows	9	9	6	7	159	(1)	(1)	(219)
	Market / FX movements	53	(13)	29	21	21	5	(15)	56
	Private client transaction	n/a	n/a	n/a	n/a	n/a	n/a	66	n/a
	Closing AUM	663	659	694	722	902	906	956	793
	Private clients
	Opening AUM	1,888	2,059	2,130	2,224	2,266	2,280	2,241	65
	Gross inflows	51	160	50	50	59	36	-	-
	Gross outflows	(42)	(39)	(35)	(60)	(50)	(50)	-	-
	Net Flows	9	121	15	(10)	9	(14)	-	-
	Market / FX movements	162	(50)	79	52	5	(25)	-	-
	Private client transaction	n/a	n/a	n/a	n/a	n/a	n/a	(2,176)	(65)
	Closing AUM	2,059	2,130	2,224	2,266	2,280	2,241	65	-

 

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