GLG's losses ease as its assets soar

E fu

E fund giant GLG Partners yesterday revealed its losses narrowed in the second quarter of the year, as rebounding markets helped its level of assets under management soar.<br /><br />The London-based, New York-listed firm said its second-quarter loss narrowed to $24.4m (&pound;14.6m), compared with a loss of $93.6m in the same quarter last year.<br /><br />This came as its assets under management &ndash; a major part in determining how much it earns through fund management fees &ndash; rose 36 per cent in the quarter, to $19.1bn. <br /><br />But the firm, which is facing the loss of star trader Robert Donald to rival Soros Fund Management, reported a 60 per cent drop in the management fees it takes from clients based on their total investment in its funds. And it reported a 52 per cent drop in the performance fees it takes based on whether funds deliver gains.<br /><br />The falls helped weigh onGLG&rsquo;s revenues, which dropped 54 per cent to $86.1m during the period.<br /><br />The company, which abandoned its dividend last year after assets fell by 40 per cent, added clients made a net investment of $2.2bn in the second quarter, rather than a withdrawal, which helped boost the asset levels. <br /><br />Chairman and co-chief executive Noam Gottesman said he had been &ldquo;encouraged&rdquo; by the stabilising asset levels.