Man Shares Rise On 2013 Inflows, Share Buyback Plan

Feb 27 2014 | 7:59am ET

Man Group shares rose on Thursday as the hedge fund company posted a 2013 pretax profit of $56 million and Q4 inflows of $700 million.

Man's profit compares favorably with a loss of $748 million in 2012, a year in which it had more than $1 billion of charges, including a $746 million impairment to write down the value of its GLG Partners unit.

Shares in the world's largest publicly traded hedge fund firm gained as much as 11.8% on Thursday as it announced its intention to repurchase $115 million in shares and said it was on track to realize $270 million in cost savings by the end of 2015.

Man also announced plans to pay a final dividend of 5.3 cents per share bringing the total dividend for the year to 7.9 cents.

Hedge funds managed by Man's GLG Partners unit ended 2013 in the black but the firm's flagship AHL Diversified hedge fund contracted to $11.9 billion in assets as of Dec. 31, shrinking for a third straight year.

Said Man CEO Manny Roman in a statement:

“Despite challenging conditions for our business, we continued to make progress against our strategic objectives in 2013. Our priorities remain to deliver superior risk-adjusted investment performance, build options for growth, improve and leverage our distribution capabilities and operate the business as efficiently as possible. We largely completed the restructuring of our cost base and balance sheet during the year, and continued the development of new business areas. Investment performance in 2013 was reasonable on a relative basis and flows showed modest recovery towards the end of the year after a weaker first half.”


In Depth

Will Liquid Alts’ Performance Sustain Future Asset Flows?

Aug 25 2014 | 10:34am ET

Liquid alternative investment funds saw the highest percentage of capital inflows...

Lifestyle

Hedgies, Economists and Musicians Mingle At Milkin Mixers In Hamptons

Aug 25 2014 | 6:00am ET

Leave it to Michael Milken to bring some gravitas and sweat to the Hamptons -- along...

Guest Contributor

Looking Ahead: What’s In Store For Managed Futures?

Aug 22 2014 | 12:52pm ET

The last five years were phenomenal for investors in equity indices. Will the next...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    Aug 25 2014 | 11:21am ET

    As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…

 

Futures Magazine

July/August 2014 Cover

The time was right

Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.