Man Group cuts $100 million costs as assets tumble

City A.M. Reporter
Hedge fund manager Man Group unveiled another round of cost cuts aimed at propping up its weakened revenues on Tuesday, as its fight to staunch rising client outflows and falling assets continued.

The fund firm, whose share price has slumped by more than three-quarters since the start of 2011, announced plans to make another $100m (£64.4m) of cost savings over the next 18 months, following calls from some analysts for deeper cuts to offset falling fee income.
The cuts come on top of $95min savings announced in March.

Man, which has been losing client assets since the credit crisis apart from during the first six months of last year, said clients pulled out a net $2.4bn over the six months to the end of June, roughly in line with analyst forecasts.

Total assets under management fell to $52.7bn from $59 billion at the end of March.
"We are confident that the changes we have announced today, together with the progress we have already made, position us well to protect and rebuild shareholder value," said CEO Peter Clarke in a statement.