Henderson sees £3bn increase in assets under management

Henderson Group PLC has reported a £2.9bn increase in assets under management in the third quarter of 2013.

In the company’s interim management statement for the three months to 30 September, published today (31 October), Henderson revealed a 4.3 per cent increase in AUM contributing to a new total of £70.8bn.

The company also experienced total net inflows of £1.2bn, which was driven by strong flows into higher-margin products.

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Henderson’s institutional business experienced net outflows of £107m in the third quarter, representing a continued deceleration of net outflows.

Henderson’s institutional business reported outflows of almost £1.5bn in Q1 2013 and £581m in Q2.

The firm attributed this movement to maturing collateralised debt obligations, property sales on behalf of clients as well as some lower-margin segregated mandates.

Inversely, total retail inflows have continued to grow over the course of the year, from £188m in Q1 and £399m in Q2 to almost £1.35bn in the third quarter of 2013.

This was due to £470m flows into Sicav open-ended collective investment schemes and £398m into US mutuals, as well as a strong quarter for UK Oeics and unit trusts which had net inflows of £473m.

The UK in particular experienced high demand in specialist credit, European equities, and Henderson’s retail joint ventures Optimum and Cirilium, and its UK property unit trust.

Andrew Formica, group chief executive of Henderson, said: “The business is performing strongly... our strategy and the changes we have made are bearing fruit.”