Man Assets Fall 21%, Investors Yank $3.2 Billion

Jan 14 2009 | 1:56pm ET

The Man Group said today that its assets under management dropped sharply in its fiscal third quarter as the firm struggled, like many others, with poor performance and huge investor redemptions.

The London-based firm said it managed US$53.3 billion on Dec. 31, a 21.2% drop from the US$67.6 billion it managed at the end of its fiscal second quarter quarter. The hedge fund group blamed market volatility, low levels of liquidity, limited leverage and year-end redemptions for the losses.

More than half of the decline, US$9.7 billion, was blamed on the firm’s effort to cut exposure across its MGS product range. Year-end net redemptions totaled $3.2 billion.

On the bright side, Man’s flagship AHL strategy soared during the quarter, rising 22%.

"The outlook for institutional sales remains very subdued in the short term and continued institutional redemptions mean that we will see institutional net outflows until markets stabilise and confidence returns," said Chief Executive Peter Clarke.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

As initial anxiety over Donald Trump’s victory gave way to market euphoria in the days following the election, there was a casualty. Gold prices.