Jupiter sees £1.3bn pulled from fixed income

Jupiter sees £1.3bn pulled from fixed income

Investors pulled £1.3bn from the fixed income strategies run by Jupiter in the three months to the end of December 2018.

In a trading update to the stock market this morning (January 10) the firm stated total AUM had declined by £5bn to £42.7bn in the quarter, with £1.5bn of this the result of net outflows, and the remainder due to adverse stock market conditions.

The company stated that the outflows, largely from European and UK fixed income mandates, came despite £200m of inflows into segregated mandates run by the firm.

Segregated mandates are essentially separate funds, run for a particular client, usually an institution. The update stated the £200m of inflows came from existing clients adding more to those mandates.

The closure of the company’s US Small and Mid Cap fund during the quarter contributed £12m in outflows.

But Jupiter continues to run an investment trust that invests in US Small and Mid Cap shares, run by Robert Siddles, a long-time investor in that part of the market.

In the investment trust part of the business Jupiter observed outflows of £4m in the three month period, while adverse market movements were behind a £187m decline in AUM in that part of the Jupiter operation.

The company had also launched a US Long/Short Equity fund during the quarter.