Jupiter Fund Management’s share price dropped around five per cent today as the company reported fourth-quarter outflows.
Overall, clients pulled £373m from Jupiter investment products in the three months to 31 December.
However, over 2016 as a whole, Jupiter reported net inflows of £859m.
Total assets under management (AUM) came in at £40.5bn, up from £35.7bn on 31 December 2015.
Why it’s interesting
Shortly before 1pm on Thursday, after the trading update was issued, Jupiter’s shares were down five per cent to 424.5p.
Jupiter’s share price is up from around 420p this time last year, having recovered from a large drop after the Brexit vote, when shares plummeted to below 330p.
Jupiter said it expects further “global political and economic uncertainty to affect investor sentiment in 2017”. However, the company also talked up the “resilience of our business model”.
[stockChart code="JUP" date="2017-01-12 13:06"]
What the company said
Chief executive Maarten Slendebroek said:
Overall, 2016 was positive for Jupiter. We continued to diversify our business by product, client type and geography and delivered strong investment performance after fees across a broad range of strategies.
Net mutual fund flows for the year were positive at £0.9bn although in the fourth quarter we experienced net outflows of £0.4bn, including the repositioning of a large institutional client's mandate.
The effects on Jupiter of wider market uncertainty during the year were muted, with positive flows contributing to a year on year increase in total assets under mamagement of 13 per cent.