Wealth Manager - the site for professional investment managers

Register free for our breaking news email alerts with analysis and cutting edge commentary from our award winning team. Registration only takes a minute.

Jupiter hikes divi 40% as H1 profits hit £59m

Jupiter hikes divi 40% as H1 profits hit £59m

Jupiter's H1 pre-tax profit has leapt from £31.2 million to £59.1 million.

The fund management firm, which is headed up by Edward Bonham Carter, saw strong inflows on the back of the first quarter's market rally, helping to drive up assets under management from £23.4 billion to £29 billion.

'Jupiter continues to attract healthy inflows while delivering consistently strong investment performance,' Bonham Carter (pictured) told investors.

He added that this performance, together with the firm's confidence in its future prospects, had allowed the board to increase its interim dividend by 40%, taking the payout to shareholders to 3.5p.

In both quarters reviewed by Jupiter's results, mutual fund inflows held up well despite the flow environment turning challenging.

At the end of the stretch net mutual fund inflows stood at £426 million.

Jupiter said this was largely due to 'encouraging flows' into its fixed income funds, as well as the continued popularity the Merlin fund of funds range and its top-performing equity funds.

UK flows, however, were dampened because of the impact of the retail distribution review, though an international expansion helped fill the gap and bolstered Jupiter's overall growth in assets.

Elsewhere, there were also net inflows of £130 million into its private client division, but these were offset by expected losses from UK equity segregated mandates.

Analysts at JP Morgan Cazenove said today's update was broadly in line with their expectations and maintained their 'overweight' recommendation on Jupiter's shares.

They said: 'Overall this is an excellent set of results, we believe.'

The markets agreed with Jupiter's shares up 7.3% or 23.7p at 348.3p in early morning trading.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Boutique tapes: my business will never be sold

Boutique tapes: my business will never be sold

In the final part of our four part series we discuss consolidation and whether it's getting tougher for boutiques to survive.

Play Boutique tapes: are top managers better off at small firms?

Boutique tapes: are top managers better off at small firms?

In episode three of our series, boutique bosses discuss whether the best fund managers are more likely to thrive at smaller firms.

Play Boutique tapes: if you want a Ferrari, you have to pay for it

Boutique tapes: if you want a Ferrari, you have to pay for it

In the second part of our four-part series, boutique bosses are asked how they can justify the fees charged by active managers.

Read More
Your Business: Cover Star Club

Profile: how this boutique beat the big guns of wealth

Profile: how this boutique beat the big guns of wealth

This small west country offshoot of a local IFA scooped a 2018 Citywire award from beneath the noses of the national challengers

Wealth Manager on Twitter