Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Ashmore's six-month £41m profit fall as EM sell-off bites

Ashmore's six-month £41m profit fall as EM sell-off bites

Ashmore Group posted a $2.9 billion (£1.7 billion) net outflow, as the fallout from the emerging market sell-off was felt in the second half of 2013.

Profit before tax plunged by £40.7 million to £79.5 million at the end of December, the specialist emerging market fund manager revealed in its unaudited interim results for the six months to the end of 2013.

Ashmore said assets under management had fallen 2.7% to $75.3 billion over the six month period. A net outflow of $2.9 billion was tempered by gross subscriptions of $7.3 billion and positive investment performance of $0.8 billion. Net management fees were up £1.6 million in comparison to the first half of 2013 at  £149.8 million.

Adjusted earnings before interest, taxes, depreciation, and amortisation (Ebitda) was down £26.4 million over the period to £87.7 million, while a margin of 65% represented a 5% decline from the first half of the year.

Ashmore said an interim dividend of 4.45p per share would be paid on 11 April 2014.

Commenting on the results, Mark Coombs, chief executive, said that recent instability in emerging markets had created valuation opportunities.

'The group has continued to make operational and strategic progress, but these financial results reflect the weak market backdrop which existed for much of the period. Despite the broader environment, investment performance remains strong across the group, with 95% of assets outperforming their respective benchmarks over three years and it is particularly satisfying to report the strong outperformance across the equities theme,' he added.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Brewin's Gutteridge: Yuan direction

Brewin's Gutteridge: Yuan direction

This week Brewin Dolphin's research head chats to Fidelity Asian Investment Directors Jenny Lee and Gary Monaghan about the big changes in China.

Play On the Road Challenge: horsing around on the polo pitch

On the Road Challenge: horsing around on the polo pitch

Libby Ashby takes to the polo pitch with Stuart Leigh-Davies from Redmayne-Bentley for an 'On the Road' challenge.

Brewin's Gutteridge: where Miton's Godber sees value

Brewin's Gutteridge: where Miton's Godber sees value

This week Brewin Dolphin's research head talks to George Godber, co-lead fund manager of the Miton UK Value Opportunities fund, about value investing.

Your Business: Cover Star Club

Profile: what tempted Brewin's Glasgow team over to Rathbones?

Profile: what tempted Brewin's Glasgow team over to Rathbones?

Rathbones’ Glasgow office has only been open for three months but the team, led by Angus Kerr, has already attracted new clients

Wealth Manager on Twitter