Investments  

Charlemagne Capital AUM down 7.3%

Charlemagne Capital AUM down 7.3%

Charlemagne Capital has posted results for the six months to 30 June 2015 which state that its group AUM was at $2.1bn (£1.36bn), down 7.3 per cent since 1 January 2015.

In total, the net management fees are down 14.4 per cent on the prior year period, and exceptional tax credit of $3.2m (£2.07m) has been received during the period.

The profit after tax an non-controlling interests are at $2.8m (£1.81m) and alongside this, the operating profit stands at $0.1m (£0.06m) compared with $1.2m (£0.77) in the prior year period.

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Net assets attributable to shareholders of $25.7m (£16.59m) included cash and cash equivalents of $17.7m (£11.42) and current asset investments of $10.1 (£6.52).

Jayne Sutcliffe, chief executive of Charlemagne Capital, said: “Emerging markets ended the period under review little changed after a volatile six months.

“However, the subsequent period has seen renewed weakness in the asset class, with stock prices and currencies falling and assets leaving the sector at an accelerating rate.

“While the poor performance of EM equities over recent years has been driven largely by earnings and growth disappointments, this most recent fall has been caused by renewed concern about the timing and extent of the first increase in US Fed Funds rate and the state of the Chinese economy.

“In spite of this challenging backdrop, Charlemagne’s investment performance in the first half of the year has been good, with three of our Magna strategies delivering top quartile performance, with none in the bottom quartile, and I am delighted that, as a consequence, we have been able secure two significant new mandate wins for our Mena and LatAm strategies.

She added that over the longer term, almost all of their strategies have produced strong relative performance, which should leave the company in a good position when sentiment and flows reverse.

“We are optimistic that our strong performance will continue, especially once markets revert, to rewarding the well-managed, consistently profitable quality companies, which are the focus of our research.”

ruth.gillbe@ft.com