Half Year Trading Update
Stock Exchange Announcement
LIONTRUST ASSET MANAGEMENT PLC
Half Year End Trading Update
Liontrust Asset Management PLC ("Liontrust" or the "Group"), the specialist independent fund management group, is today issuing its half year trading update.
Highlights
· Net positive inflows of £88 million in the current quarter (three months ending 30 September 2011: £46 million)
· Net positive inflows of £181 million in the financial year to 24 September 2012 (six months ending 30 September 2011: £59 million)
· Assets under management increased to £2,364 million as at close of business on 24 September 2012 from £1,529 million on 31 March 2012
John Ions, Chief Executive of Liontrust, says: "Another positive six months of fund flows and performance continues to drive our business forward. We are in our ninth successive quarter of positive inflows and over that period assets under management have risen from £1.0 billion to £2.4 billion. There is no better endorsement of our strategy than clients continuing to invest. The environment has been mixed for many groups and there are numerous challenges ahead, with some more in our control than others but they all create opportunities to capitalise on.
"The success of the last two years continues to be a testament to our commitment to delivering performance across our investment teams and the tremendous progress made in distribution and the profile of Liontrust. Achieving good long term performance through consistent robust investment processes will always be the core strength of our business. The need for long-term savings has never been greater and thus there is a tremendous opportunity for well managed, focused businesses to provide solutions for investors.
"The changes brought on by RDR should not be underestimated. There may be much focus on price and consumer outcomes but it has also clearly identified that distribution power is now vital. An even greater amount of fund flows will be controlled by fewer more powerful distributors. These changes will create tremendous opportunities and pose significant threats to asset managers both big and small.
"Fund managers who understand their clients' needs and are able to meet them over the long term through clearly defined investment processes have a great opportunity ahead."
Funds under Management
As at close of business on 24 September 2012, our assets under management ("AuM") stood at £2,364 million, an increase of 11% over the quarter, and were broken down by type and process as follows:-
|
Process
|
Total (£m) |
Institutional (£m) |
UK Retail (£m) |
Offshore Funds (£m) |
|
Cashflow Solution |
836 |
411 |
397 |
28 |
|
Economic Advantage |
905 |
- |
905 |
- |
|
Macro |
557 |
165 |
392 |
- |
|
Asia |
15 |
- |
4 |
11 |
|
Indexed |
51 |
- |
51 |
- |
|
Total |
2,364 |
576 |
1,749 |
39 |
Funds Flows
Liontrust has recorded net positive inflows of £88 million in the current quarter to 24 September 2012 (three months ending 30 September 2011: £46 million). The net positive inflows for the financial year to 24 September 2012 are £181 million (six months ending 30 September 2011: £59 million).
A reconciliation of fund flows and AuM over the current quarter to 24 September 2012 is as follows:-
|
|
Total |
Institutional |
UK Retail |
Offshore Funds |
|
|
(£m) |
(£m) |
(£m) |
(£m) |
|
|
|
|
|
|
|
Opening AuM - 1 Jul 2012 |
2,135 |
514 |
1,573 |
48 |
|
|
|
|
|
|
|
Inflows |
217 |
32 |
185 |
- |
|
Outflows |
(129) |
(10) |
(110) |
(9) |
|
Net flows |
88 |
22 |
75 |
(9) |
|
|
|
|
|
|
|
Market movement |
141 |
40 |
101 |
- |
|
|
|
|
|
|
|
Closing AuM - 24 Sep 2012 |
2,364 |
576 |
1,749 |
39 |
Performance fees
Performance fees of £nil were earned in the financial year to 24 September 2012 (2011: £167,000, of which £119,000 relates to the credit business, the disposal of which completed on 30 June 2011).
Fund Performance (Quartile ranking)
The strength of Liontrust's fund management capability is shown by the fact that all bar one of nine unit trust funds have out-performed their respective IMA sector average since launch or since the fund managers were appointed to 31 August 2012. Liontrust Special Situations Fund was ranked first out of 217 funds in the IMA UK All Companies sector over this period while another five of the funds were in the first quartile of their respective sectors.
|
|
Quartile ranking - 1 year |
Quartile ranking - 3 year |
Quartile ranking - 5 year |
Quartile ranking - Since Manager tenure |
Launch / Manager appointed |
|
Liontrust Income Fund |
4 |
3 |
- |
2 |
25/03/2009 |
|
Liontrust UK Growth Fund |
1 |
1 |
- |
1 |
25/03/2009 |
|
Liontrust Special Situations Fund |
1 |
1 |
1 |
1 |
10/11/2005 |
|
Liontrust UK Smaller Companies Fund |
1 |
1 |
1 |
1 |
08/01/1998 |
|
Liontrust European Absolute Return Fund |
4 |
4 |
- |
4 |
08/07/2009 |
|
Liontrust European Growth Fund |
4 |
1 |
1 |
1 |
15/11/2006 |
|
Liontrust Asia Income Fund |
- |
- |
- |
2 |
05/03/2012 |
|
CF Liontrust Macro Equity Income Fund |
4 |
2 |
1 |
1 |
31/10/2003 |
|
CF Liontrust Macro UK Growth Fund |
4 |
2 |
1 |
1 |
01/08/2002 |
Source: Financial Express, total return, bid to bid, to 31 August 2012 unless otherwise stated. The above funds are all UK authorised unit trusts (retail share class). Liontrust FTSE 100 Tracker Fund (index fund) and CF Liontrust Macro UK High Alpha Fund (proposed to, subject to appropriate approvals, merge into CF Liontrust Macro UK Growth Fund) not included. Past performance is not a guide to the future; the value of investments and the income from them can fall as well as rise. Investors may not get back the amount originally subscribed.
Awards
We are proud to announce a hat-trick of awards for Liontrust in the financial year to 24 September 2012:
· The Liontrust Special Situations Fund won the "Best UK Growth Fund" at the Investment Week Fund Manager of the Year Awards in July for the second year running.
· Liontrust has been named the "Best UK Equity Group" by Money Observer magazine.
· Liontrust Special Situations Fund won the "Best UK Equity Growth Fund" Award from What Investment magazine.
For further information please contact:
Liontrust Asset Management PLC 020 7412 1700
John Ions www.liontrust.co.uk
Vinay Abrol
Simon Hildrey - Head of Marketing & Communications
Singer Capital Markets Limited 020 3205 7500
Jonny Franklin-Adams
Jenny Wyllie
Forward Looking Statements
This announcement contains certain forward-looking statements with respect to the financial condition, results of operations and businesses and plans of the Group. These statements and forecasts involve risk and uncertainty because they relate to events and depend upon circumstances that have not yet occurred. There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by these forward-looking statements and forecasts. As a result, the Group's actual future financial condition, results of operations and business and plans may differ materially from the plans, goals and expectations expressed or implied by these forward-looking statements. Liontrust undertakes no obligation publicly to update or revise forward-looking statements, except as may be required by applicable law and regulation (including the Listing Rules of the Financial Services Authority). Nothing in this announcement should be construed as a profit forecast or be relied upon as a guide to future performance.
Other information
The release, publication, transmission or distribution of this announcement in, into or from jurisdictions other than the United Kingdom may be restricted by law and therefore persons in such jurisdictions into which this announcement is released, published, transmitted or distributed should inform themselves about and observe such restrictions. Any failure to comply with the restrictions may constitute a violation of the securities laws of any such jurisdiction.
ENDS
This information is provided by RNS
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