Polar Capital assets under management rise in first half

Specialist active asset manager Polar Capital reported an increase in its assets under management for the six months ended 30 September on Thursday.

The AIM-traded firm said the total rose to £22.7bn, up 4% from £21.9bn at the end of March.

It said the growth was driven by net inflows of £0.5bn and a £0.3bn increase attributed to market movements and fund performance.

During the period, open-ended funds saw the largest inflows, with £727m, while investment trusts experienced outflows of £102m and segregated mandates recorded a decline of £153m.

At the end of September, open-ended funds grew to £16.94bn, investment trusts stood at £5.08bn, and segregated mandates reached £667m.

The board said the positive performance across market movements and fund performance added £323m to overall assets under management.

“There has been continued demand for a broad range of our funds during the quarter,” chief executive officer Gavin Rochussen.

“Those in net inflows included the Emerging Market Stars - both the UCITS and US-domiciled vehicles - Healthcare Opportunities, Japan Value, Artificial Intelligence and Biotechnology Funds, with combined net inflows of £393m across these funds in the quarter.

“Assets under management at the end of the six-month period was £22.7bn - an increase of 4% on the £21.9bn reported at the beginning of the financial year.”

Rochussen said the increase was the result of net inflows of £0.5bn and positive market movement and performance of £0.3bn.

“The more challenging market environment over the last quarter resulted in AuM declining from £23.5bn at the end of June 2024 primarily due to negative market movement and performance of £655m after the summer equity sell-off alongside net outflows of £172m driven by mandate redemptions.

“We were pleased to announce the launch of the US-domiciled Polar Capital International Small Company Fund with Dan Boston recruited as lead manager and researcher.

“Dan brings 19 years' experience to his role and now heads our US-based and newly established global small company team.”

The team takes a “research first” approach to seeking out wealth creating smaller companies with the ability to compound over the long-term and become industry leaders, Gavin Rochussen explained.

“International expansion remains a key part of our 'Growth with Diversification' strategy and this launch represents an important strategic milestone given Dan's proven track record.

“We remain confident that with our diverse range of differentiated, active specialist fund strategies we are well-positioned to perform for our clients and shareholders over the long term.”

At 1332 BST, shares in Polar Capital Holdings were down 0.94% at 529p.

Reporting by Josh White for Sharecast.com.