Polar Capital’s assets under management climbed 83% over the 12 months to the end of March to $13.2 billion (£7.74 billion) with pre-tax profits more than doubling to £32.7 million.
The company cautioned that after almost three years of net inflows the last three months had seen a net outflow of $300 million ‘although currently our AUM is above the year-end level’.
The result was ‘well beyond our expectations at the start of the year,’ said Polar chair Tom Bartlam, largely on the strength of demand for Japanese equities during a spectacular year for the asset class.
‘We benefited from exceedingly strong inflows into a number of our funds but particularly our Japanese funds and from the strength in most major global equity markets.
‘Our net inflows for the twelve months were almost $5 billion - a very material increase in the level of flows we had been enjoying in recent previous years. Inevitably given the huge success of our Japanese team, the direction of the Japanese market and client allocations to that market will have a significant influence on our short term results.
‘We enter the new financial year therefore with a degree of a caution although we remain confident in our long term outlook given our expanded product set.’
Following a period of consolidation the company added that it is once again hoping to add to its asset management staff and had received a number of unsolicited high-quality approaches.