Jupiter Fund Management recorded total net outflows of £373m in the fourth quarter of 2016, of which £355m came from the mutual funds business.
In its latest trading update the asset manager said the net mutual fund outflows were driven by institutional clients rebalancing their holdings in the Merlin and European strategies. Although it noted: “Inflows to our Absolute Return and Fixed Income strategies remained strong and we saw promising inflows into our Emerging Markets strategy.”
The fourth quarter outflows from the mutual fund range was joined by £5m of outflows from investment trusts and £13m from the segregated mandates business.
In spite of this Jupiter recorded an increase in overall assets under management in the three months to £40.5bn as total market gains of £560m offset the net outflows.
For 2016 as a whole assets under management increased from £35.7bn at the end of 2015 to £40.5bn a year later, while mutual funds’ assets under management increased by approximately £4bn in the 12 months.
Maarten Slendebroek, chief executive of Jupiter, said: “Overall, 2016 was positive for Jupiter. We continued to diversify our business by product, client type and geography and delivered strong investment performance after fees across a broad range of strategies.
“Net mutual fund flows for the year were positive at £0.9bn although in the fourth quarter we experienced net outflows of £0.4bn, including the repositioning of a large institutional client's mandate. The effects on Jupiter of wider market uncertainty during the year were muted, with positive flows contributing to a year on year increase in total AUM of 13 per cent."
