Ashmore Group PLC Trading Statement (1269E)
14 July 2016 - 4:00PM
UK Regulatory
TIDMASHM
RNS Number : 1269E
Ashmore Group PLC
14 July 2016
Ashmore Group plc
+0700 14 July 2016
FOURTH QUARTER ASSETS UNDER MANAGEMENT STATEMENT
Ashmore Group plc ("Ashmore", "the Group"), the specialist
Emerging Markets asset manager, announces today the following
update to its assets under management ("AuM") in respect of the
quarter ended 30 June 2016.
Assets under management
Actual Estimated Movement
31 March
2016 30 June 2016 Q4 vs Q3
Theme (US$ billion) (US$ billion) (%)
------------------ --------------- --------------- ----------
External debt(1) 11.0 11.7 +6%
------------------ --------------- --------------- ----------
Local currency 13.1 13.3 +2%
------------------ --------------- --------------- ----------
Corporate
debt 4.6 5.0 +9%
------------------ --------------- --------------- ----------
Blended debt(1) 13.7 13.7 -
------------------ --------------- --------------- ----------
Equities 3.1 3.1 -
------------------ --------------- --------------- ----------
Alternatives 1.5 1.5 -
------------------ --------------- --------------- ----------
Multi-asset 1.2 1.2 -
------------------ --------------- --------------- ----------
Overlay /
liquidity 3.1 3.1 -
------------------ --------------- --------------- ----------
Total 51.3 52.6 +3%
------------------ --------------- --------------- ----------
Assets under management increased by US$1.3 billion over the
period through positive investment performance of US$2.0 billion
and net outflows of US$0.7 billion.
External debt, blended debt, equities, local currency and
multi-asset had net outflows, with no individual theme experiencing
significant net outflows. Alternatives and overlay/liquidity had
neutral flows and corporate debt had a small net inflow in the
quarter.
Emerging Markets assets continued to deliver strong returns over
the period as fundamentals reasserted themselves and previous
headwinds, such as falling commodity prices and a strong US dollar
against Emerging Markets currencies, abated. Investment performance
was flat in alternatives and overlay/liquidity, and positive across
all other investment themes, notably in blended debt, external
debt, local currency and corporate debt.
Mark Coombs, Chief Executive Officer, Ashmore Group plc,
commented:
"Emerging Markets asset classes have continued to perform well
and Ashmore's investment processes delivered good absolute and
relative performance during the quarter.
"These asset classes are among the best performing so far in
2016, for example local currency bonds have returned 14% and yield
over 6%. The highly attractive yields and uncorrelated equity
returns are supported by solid fundamentals such as higher GDP
growth, low and stable inflation, flexible monetary policies and
improving current accounts. In contrast, Developed Markets offer
lower returns and appear to have mispriced economic and political
risks.
"The strong performance recovery in Emerging Markets is
unsurprising after a period of weak returns despite resilient
underlying economies. While near term investor sentiment may be
affected by uncertainty in the developed world, and institutional
decisions can lag market performance despite the strength of the
rally, the arguments for investing in Emerging Markets are powerful
and can be expected to drive allocations higher over time."
Notes
1. There was a US$0.5 billion reclassification of assets from
blended debt to external debt in the quarter following a change in
investment guidelines for those assets. The above commentary on
flows has been adjusted for the reclassification and it had no
other material financial impact.
2. For the translation of US dollar-denominated balance sheet
items, the GBP/USD exchange rate was 1.3234 at 30 June 2016 (30
June 2015: 1.5712, 31 December 2015: 1.4736). For the translation
of US dollar management fees, the average GBP/USD exchange rate
achieved for the financial year was 1.4759 (FY2014/15: 1.5822).
Ashmore will announce its preliminary results in respect of the
financial year to 30 June 2016 on 5 September 2016.
For further information please contact:
Ashmore Group plc
Paul Measday
Investor Relations +44 (0)20 3077 6278
FTI Consulting
Andrew Walton +44 (0)20 3727 1514
Kit Dunford +44 (0)20 3727 1143
This information is provided by RNS
The company news service from the London Stock Exchange
END
TSTLLFVRDSIVLIR
(END) Dow Jones Newswires
July 14, 2016 02:00 ET (06:00 GMT)
Ashmore (LSE:ASHM)
Historical Stock Chart
From Jan 2025 to Feb 2025
Ashmore (LSE:ASHM)
Historical Stock Chart
From Feb 2024 to Feb 2025
