Ashmore Group plc
15 January 2025
SECOND QUARTER ASSETS UNDER
MANAGEMENT STATEMENT
Ashmore Group plc ("Ashmore", "the
Group"), the specialist Emerging Markets asset manager, announces
the following update to its assets under management ("AuM") in
respect of the quarter ended 31 December 2024.
Assets under management
|
Theme
|
Actual
30 September 2024
(US$
billion)
|
Estimated
31 December 2024
(US$
billion)
|
Movement
(%)
|
|
- External debt
|
7.8
|
7.1
|
-9%
|
|
- Local currency
|
18.3
|
17.3
|
-5%
|
|
- Corporate debt
|
5.0
|
4.6
|
-8%
|
|
- Blended debt
|
12.2
|
11.3
|
-7%
|
|
Fixed income
|
43.3
|
40.3
|
-7%
|
|
Equities
|
7.3
|
7.0
|
-4%
|
|
Alternatives
|
1.2
|
1.5
|
+25%
|
|
Total
|
51.8
|
48.8
|
-6%
|
Assets under management declined by
US$3.0 billion over the period, comprising total net outflows of
US$0.4 billion and negative investment performance of US$2.6
billion. During the quarter Ashmore closed a liquidity fund, which
included US$0.2 billion of the Group's cash deposits. Therefore,
excluding Group cash, client net outflows for the period were
US$0.2 billion.
The ongoing improvement in net flows
compared with recent quarters was the result of continuing
subscriptions and reduced redemptions, as investors increasingly
acknowledge the opportunities available in emerging markets and
notwithstanding the heightened market volatility in the
quarter.
By investment theme, there were net
inflows into equities and alternatives, the latter reflecting the
first close of an infrastructure debt fund. There were net outflows
from external debt, blended debt and local currency, with flows in
the corporate debt theme being neutral.
The broad equity and fixed income
market weakness experienced ahead of the US election, and the
impact of a stronger US dollar on the local currency and equities
themes means that most of the previous quarter's investment
performance was reversed in this period, with the main emerging
markets benchmark indices declining by between 1% and 8%. Ashmore's
relative performance over the medium and longer term remains
broadly consistent with the previous quarter.
Mark Coombs, Chief Executive
Officer, Ashmore Group plc, commented:
"While market conditions were more
volatile this quarter, particularly leading up to the US election,
the Group's flows continue to improve as clients increasingly
recognise emerging markets' resilience and the delivery of
outperformance by Ashmore's established, active investment
processes.
"Global capital markets are likely
to remain sensitive to the new US administration's policy
announcements. If, as was the case following the 2016 US election,
the campaign rhetoric exaggerates the policies ultimately
implemented then the conditions exist for meaningful upside to
current emerging markets asset prices to be delivered and for
investors to address their significantly underweight emerging
markets allocations. Therefore, active management will be critical
to maximise the returns available across the diverse range of
investment opportunities in multiple asset classes covering more
than 70 emerging markets countries."
Notes
Local currency AuM includes US$7.8
billion of AuM managed in overlay/liquidity strategies (30
September 2024: US$7.7 billion).
For the translation of US
dollar-denominated balance sheet items, the GBP:USD exchange rate
was 1.2524 as of 31 December 2024 (30 June 2024: 1.2641; 31
December 2023: 1.2748). For the translation of US dollar management
fees, the average GBP:USD exchange rate achieved for the first half
of the financial year was 1.2876 (H1 2024: 1.2572).
Ashmore will announce its interim
results in respect of the six months ending 31 December 2024 on 7
February 2025.
For further information please
contact:
Ashmore Group plc
Paul Measday
Investor
Relations
+44 (0)20 3077 6278
ir@ashmoregroup.com
Cardew Group
Tom
Allison
+44 (0)7789 998020
Will
Baldwin-Charles
+44 (0)7834 524833
ashmore@cardewgroup.com
