Jupiter Fund Management reported that profit halved in the first half of the year as net assets fell after outflows jumped during the pandemic.
Jupiter reported pre-tax profit fell by 50 per cent to £40.8m and assets under management (AUM) was down 8 per cent to £39.2bn as net fund outflows jumped to £2bn from £1.1bn on-year.
Jupiter said outflows was due to investors pulling their money out and losses in financial markets more generally.
However the firm said June saw a partial recovery in asset prices which led to inflows resume at a moderate pace.
Net management fees fell 12% to £161.4m.
The interim dividend per share was unchanged at 7.9p.
While Jupiter said it suffered a “significant fall in AUM due to both outflows and markets in the first quarter of the year, the second quarter has seen a return to moderate inflows and a partial recovery in asset prices.”
What Jupiter Fund Management said
Chief executive Andrew Formica said: “”For the first half of the year, in common with the wider asset management industry, Jupiter has faced challenging market conditions, largely brought about by the global coronavirus pandemic.
“Although we suffered a significant fall in AUM due to both outflows and markets in the first quarter of the year, the second quarter has seen a return to moderate inflows and a partial recovery in asset prices. Despite market volatility, our investment teams have delivered strong investment outperformance reinforcing our commitment to high-conviction active management.”