Emerging markets specialist City of London Investment Group saw its inflows “marginally exceed” outflows in the tumultuous first quarter of 2016, despite an underperformance from its offerings.
According to a trading update, from January 1 to March 31 this year the firm saw its funds under management rise by roughly 3 per cent, from $3.8bn (£2.6bn) to $3.9bn.
The group noted that inflows had “marginally exceeded outflows” in the opening three months of the year, but added: “Investment performance for the quarter has been disappointing with approximate underperformance of 3 per cent.
“This has been due to discount widening and also greater exposure to small cap via the closed end funds in which the group invests. Investment performance remains in the first or second quartile for all annualised periods.”
City of London also announced that board member Rian Dartnell would be resigning from his post as of July 1 2016. Mark Driver, a founding partner of Horseman Capital Management, will join the board on the same date.