Ashmore Group, the specialist emerging markets asset manager, has recorded a 3 per cent increase in assets under management to $52.6bn (£39.8bn) for the three months to June 30 2016, in spite of outflows from a number of its investment themes.
In its latest trading update the firm noted the boost to assets of $1.3bn was a result of $2bn of positive investment performance and $700m of net outflows.
Ashmore highlighted the external debt, blended debt, equities, local currency and multi-asset investment areas recorded net outflows, but it added that “no individual theme” had experienced “significant net outflows”.
The group’s alternatives and overlay/liquidity strategies had neutral flows, while corporate debt had a small net inflow in the quarter. In terms of performance, however, Ashmore noted the alternatives and overlay/liquidity themes produced a flat performance, while it was “positive across all other investment themes, notably in blended debt, external debt, local currency and corporate debt”.
Mark Coombs, chief executive of Ashmore Group, commented: “Emerging markets asset classes have continued to perform well and Ashmore’s investment processes delivered good absolute and relative performance during the quarter.
“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.”
