Ashmore Group Plc recorded its seventh straight quarter of outflows as the emerging markets specialist struggles to contain a client exodus that has cost it tens of billions of dollars in assets.
(Bloomberg) — Ashmore Group Plc recorded its seventh straight quarter of outflows as the emerging markets specialist struggles to contain a client exodus that has cost it tens of billions of dollars in assets.
Clients pulled $1.1 billion in the three months through March, the firm said in a statement Monday. Overall assets under management rose as performance gains of $1.6 billion in the period offset outflows.
“Greater stability in markets benefits investor risk appetite, with history suggesting that recovery cycles last for several years, meaning that the medium-term outlook for investment returns and capital flows is positive for emerging markets,” Chief Executive Officer Mark Coombs said in the statement.
The asset manager, which was founded in 1992 as part of the Australia and New Zealand Banking Group and became independent seven years later, has been grappling with poor performance and mass redemptions for the past two years. Most of its assets are in segregated mandates but it also runs several funds available to retail investors.
Read more: How Ashmore Won And Lost $40 Billion in Six-Year Rollercoaster
Assets rose to $57.7 billion at the end of March, up from $57.2 billion at the end of 2022. The net outflows, which the firm said was reducing, were mainly in the blended debt strategies, with smaller outflows in the equities, corporate debt and local currency money pools.
–With assistance from Loukia Gyftopoulou.
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