View more on these topics

Henderson retail outflows hit £1.4bn in Q1

Cash-Money-Currency-700.jpg

Henderson saw £1.4bn in net outflows from its retail business in the first quarter of 2017, with £200m in net outflows from its UK retail arm as at the end of March.

The UK Property fund saw “modest” outflows, although the UK Absolute Return and emerging markets offerings were in demand, the firm says.

In the US, the mutual fund range saw £200m in outflows as investors shunned non-US assets such as the International Opportunities and European Focus funds while the Sicav range saw £1bn in outflows due to investors’ concerns over Europe.

Overall, 85 per cent of outflows took place in the first two months of the year, with retail sentiment improving in March and continuing in April, the firm says.

The institutional side saw £400m in net outflows, which the firm attributes to “one-off redemptions” following the restructure of its global equities offering ahead of Henderson’s merger with Janus, adding that new business won in April has countered the outflows.

Assets under management increased to £103.1bn, up from £101.0bn in December, on the back of positive investment performance and currency gains.

Henderson has announced a first quarter extraordinary dividend of 1.85p per share to ensure equality with Janus shareholders, who are set to receive a first quarter dividend. The combined Janus Henderson Group plans to release second quarter results on 8 August 2017, subject to the completion of the merger.

Henderson chief executive Andrew Formica says: “While retail client outflows continued, we saw an improvement in client sentiment and flows as we moved towards the end of the quarter. Aside from the one-off outflows that resulted from the merger-related restructuring of our global equities team, our institutional business continues to see steady growth, with a healthy number of mandates funding since quarter end.

“We have made substantial progress in preparation for our proposed merger with Janus Capital Group. It is an exciting time as momentum builds towards the launch of Janus Henderson Investors, which will enable us to significantly increase our distribution reach and investment capabilities. We continue to be pleased with the supportive response from clients and await shareholder approval on 26 April.”

Recommended

Boardroom-Business-Chair-Executive-Corporate-700x450.jpg

Henderson and Janus reveal board structure post-merger

Henderson Global Investors has revealed the structure of the 12-strong board which will run the firm following the merger with Janus Capital Group. In October, Henderson and US-based Janus announced they were to merge to create a company with $320bn assets under management. Henderson chairman Richard Gillingwater will chair the board following the merger, which […]

Henderson-Global-Investors-Interior-500x320.jpg

Henderson hit by £1bn in Brexit outflows

Henderson Global Investors has blamed Brexit for £1bn of retail outflows in its third quarter results and warned retail investors remain cautious on European assets. Sterling weakness and positive markets helped assets grow 6 per cent to £100.9bn compared to £95bn at the end of June. Institutional net flows added a further £400m. Chief executive Andrew […]

‘Queue to get in’ as Henderson re-opens UK Property fund

In May Ainslie McLennan returned from six months leave after the birth of her second child. But little did the lead manager of Henderson’s £3.3bn UK Property fund realise that just weeks later she would begin the most challenging period in her 20-year career in investment management. This month the fund reopens to redemptions after […]

Sub-Saharan Africa Near-Term Outlook

By Paul Caruana-Galizia, Neptune Economist

Sub-Saharan Africa’s economic renaissance continues. After growing at an average rate of five per cent over the past decade, the IMF projects an acceleration to 5.5 per cent growth among Sub-Saharan economies in the next two years, as developed economies emerge from the crisis. We expect this growth to be sustainable for three broad reasons.

Trusts: Easier than you think?

Protection providers often extol the benefits of placing plans in trust. The advantages for clients are widely recognised and numerous – inheritance tax mitigation, avoiding probate delay, controlling claim proceeds, and so the long, familiar list continues. Yet, dismissed as unnecessary form-filling, or simply viewed as irrelevant in the context of a mortgage sale, less […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment