Henderson assets dip in first quarter

City A.M. Reporter
BRITISH fund manager Henderson Group has reported a slight dip in assets under management in the first-quarter, but said the integration of rival Gartmore, which it took over last month, is ahead of schedule.

In its first trading statement since confirming the takeover, Henderson said Gartmore staff have moved to its offices and now operate on its own systems and processes.

“I am pleased with the pace of the integration which is both ahead of our plans and our previous experience from New Star”, said chief executive Andrew Formica.

Henderson acquired New Star in 2009.

Henderson added it expects the majority of fund mergers and the integration of third party administrators to be completed by the end of the third-quarter of 2011. Assets under management for the group stood at £76.2bn at the end of March, including £15.7bn taken on from Gartmore, Henderson said.

The total was slightly lower than analysts’ forecasts, which had predicted combined assets would remain broadly unchanged at around £77bn.

On its own, Henderson managed £60.5bn, having seen an asset fall of £1.2bn, mainly due to the transfer of its cash management to a Deutsche Bank unit, to which it has transferred its liquidity management as it concentrates on developing its high-fee business.

Henderson said that Gartmore saw net outflows of about £100m during April, adding to the £1.2bn that departed during the first three months of 2011.