Henderson gets boost from EU bond buying

Michael Bow
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FUNDS firm Henderson Group reaped the benefits of European quantitative easing in the first quarter after inflows surged to a new record.

The FTSE 250-listed fund manager, led by chief executive Andrew Formica, lured £3.6bn into products for the three months ending March.

Strong allocations from retail investors, amounting to £2.9bn, helped drive overall assets under management to £89.4bn – a 10 per cent rise compared to last quarter’s numbers. Institutional inflows were £700m.

The European Central Bank (ECB) launched an unprecedented wave of bond buying earlier this year in a bid to boost flagging growth across the Eurozone which benefitted the firm.

Formica said first quarter flows were “boosted by the announcement of European quantitative easing in January.”

“Increased client demand for European assets has coincided with a sustained period of excellent investment performance from our core European products,” he added.

However he cautioned there were uncertainties about how long QE would last in Europe and warned on uncertainty in the UK and a future rate rise in the US.