Man Suffers $1B Outflow As Thoughts Turn To China

Jul 8 2010 | 1:31pm ET

Investors pulled US$1 billion from the Man Group in the second quarter, despite above-average returns for its flagship strategy.

The net withdrawals pushed the firm’s assets under management down 2.2% to US$38.5 billion between April and June. It is the seventh consecutive quarter in which Man, which is buying GLG Partners, has suffered an net outflow.

“Given the continued market uncertainty, sales in the quarter have, as anticipated, remained subdued,” CEO Peter Clarke said in a statement.

The declines came despite relatively strong performance by Man’s AHL managed-futures strategy, which rose 2.3% though May.

Unable to staunch its own asset losses, Man is looking to GLG to diversify its asset base. It is also looking to China, where it hopes to begin selling its products within the next few years.

Clarke said at Man’s annual general meeting that Man is hoping to attract some state-run Chinese institutions, and eventually wants to sell its hedge funds directly to private investors on the mainland.


In Depth

Q&A: TCA Fund Management's Bob Press on Small-Cap Private Equity

Aug 25 2016 | 8:55pm ET

The emergence of private credit as a replacement for traditional bank financing...

Lifestyle

Kiawah: Island Reversal

Aug 24 2016 | 9:59pm ET

Looking for real estate investments but the typical real estate fare isn’t cutting...

Guest Contributor

Old Hill Partners: Embrace Illiquidity

Aug 9 2016 | 2:39pm ET

The age-old financial concept that higher yields are the result of higher risk and...