Man Group, the world’s largest publicly traded hedge fund firm, managed to pull in $3.1 billion in net inflows last year, boasting that investors “rediscovered the value that liquid alternatives can bring.” Abrdn’s fortunes weren’t so positive. Its assets dropped to a record low in the second half as outflows continued.
(Bloomberg) — Man Group, the world’s largest publicly traded hedge fund firm, managed to pull in $3.1 billion in net inflows last year, boasting that investors “rediscovered the value that liquid alternatives can bring.” Abrdn’s fortunes weren’t so positive. Its assets dropped to a record low in the second half as outflows continued.
Here’s the key business news from London this morning:
In The City
Man Group Plc: The company’s $3.1 billion of net inflows last year beat analyst estimates, defying wider gloom in the hedge funds industry.
- Man Group also announced that Chairman John Cryan, a former CEO of Deutsche Bank AG, will be retiring from the board towards the end of this year. He’ll be succeeded by Anne Wade, who has been a non-executive director at Man Group since April 2020.
Ocado Group Plc: The grocery delivery company posted a loss as sales at its grocery retail venture with Marks & Spencer Group Plc declined.
- The result reflects lower earnings in the online unit and increased investment in Ocado’s solutions business, where the company builds automated warehouses for retailers using its robotic technology
Abrdn Plc: The firm’s assets dropped to a record low in the second half of 2022, after outflows continued at the asset manager. The company also agreed to sell Abrdn Capital, its discretionary fund management business, for £140 million.
- Abrdn has been through a rough patch, dropping out of and then rejoining the FTSE 100 — Britain’s blue-chip index — all in the space of four months
Glencore Plc: The commodities trader was told to pay almost $30 million in restitution to the founders of a company that provided healthcare related services in the Democratic Republic of the Congo and was forced to shut down as a result of the commodities giant’s global bribery scheme.
In Westminster
Prime Minister Rishi Sunak and European Commission President Ursula von der Leyen both hailed their post-Brexit deal as a chance to reset frayed relations between the two sides. For investors in British assets, the repair work is only just beginning.
The top energy officials from the US and UK are set to meet today to discuss issues including energy security and the shift to renewables amid trans-Atlantic tension over green subsidies.
In Case You Missed It
Homebuyers are getting the edge in the UK property market as sellers cut their asking prices to get deals done.
UK banks are being “abundantly cautious about the year ahead,” writes Bloomberg Opinion’s Paul J. Davies. “But it isn’t fear of bad loans tempering spirits — it’s interest rates.”
Senior investment bankers at HSBC Holdings Plc in Hong Kong could lose their private offices as the firm moves toward open-plan desks for the financial hub, causing angst among some executives who’ve complained about potential confidentiality risks.
Looking Ahead
Britain’s biggest homebuilder, Persimmon Plc, carmaker Aston Martin Lagonda Global Holdings Plc and consumer product maker Reckitt Benckiser Group Plc are all set to publish results tomorrow.
A 5% increase in Reckitt’s like-for-like sales in the fourth quarter, on price increases of almost 10%, will be needed to meet the higher end of the company’s guidance range, according to Bloomberg Intelligence. The maker of consumer goods like Dettol, Cillit Bang and Clearasil narrowed its sales expectations to the top end of its prior range in October.
Still, as its costs continue to rise, fears linger over how long these can be passed onto customers. That poses a challenge for CEO Nicandro Durante, who’s in the position on an interim basis while the company searches for a successor to Laxman Narasimhan. Citi analysts expect the fourth-quarter result to be “weak,” due to elasticity in European Hygiene and headwinds from China, while Jefferies doesn’t rule out a “strong finish” from Reckitt’s US-based infant formula business. Watch also for further comments on Reckitt’s recall of a plant-based infant formula.
For a more considered take on the UK’s economic and financial news, sign up to Money Distilled with John Stepek.
More stories like this are available on bloomberg.com
©2023 Bloomberg L.P.