RDR dampens Jupiter inflows but shares rise on divi hike

Jupiter Asset Management benefited from strong fund performance in the first half of 2013, as its assets under management grew and net inflows reached £418m.

The asset manager’s assets grew by 10.4 per cent in the six months to the end of June, from £26.3bn to £29bn.

However, the inflow was lower than the £1bn it received in the final six months of 2012. The group said fund flows in the UK had been “dampened by the effects of [the] RDR” and it had relied on international expansion for new inflows.

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Jupiter said this year’s inflows had been spread between its fixed income funds, the Merlin fund of funds range and its “top-performing” equity funds.

Its net cash position hit £113m at the end of June, up from £1m at the same period in 2012, and the firm said it would be increasing its interim dividend by 40 per cent.

The dividend news contributed to share price rallies for the company this morning, with shares of Jupiter trading 7 per cent higher at 347.5p at 9.32am.