Ashmore Group PLC Trading Statement (0089P)

TIDMASHM

RNS Number : 0089P

Ashmore Group PLC

14 October 2021

Ashmore Group plc

14 October 2021

FIRST QUARTER ASSETS UNDER MANAGEMENT STATEMENT

Ashmore Group plc ("Ashmore", "the Group"), the specialist Emerging Markets asset manager, announces the following update to its assets under management ("AuM") in respect of the quarter ended 30 September 2021.

Assets under management

 
                             Actual        Estimated 
                                        30 September 
                       30 June 2021             2021   Movement 
 Theme                (US$ billion)    (US$ billion)        (%) 
 - External debt               18.7             18.8      +0.5% 
                    ---------------  ---------------  --------- 
 - Local currency              31.9             30.5      -4.4% 
                    ---------------  ---------------  --------- 
 - Corporate debt              11.3             10.3      -8.8% 
                    ---------------  ---------------  --------- 
 - Blended debt                23.4             22.4      -4.3% 
                    ---------------  ---------------  --------- 
 Fixed income                  85.3             82.0      -3.9% 
                    ---------------  ---------------  --------- 
 Equities                       7.7              7.8      +1.3% 
                    ---------------  ---------------  --------- 
 Alternatives                   1.4              1.5      +7.1% 
                    ---------------  ---------------  --------- 
 Total                         94.4             91.3      -3.3% 
                    ---------------  ---------------  --------- 
 

Assets under management declined by US$3.1 billion over the period, comprising net outflows of US$1.0 billion and negative investment performance of US$2.1 billion.

There were net inflows in the external debt and equities themes and net outflows in the local currency, corporate debt and blended debt themes over the quarter. The net outflows were influenced by a small number of large institutional redemptions and there was a small net outflow from intermediary retail clients. New mandates were won in external debt, blended debt, local currency and equities, and there continues to be good demand for investment grade strategies.

Market sentiment, prompted by the macro environment, deteriorated as the quarter progressed, and the consequent reduction in investor risk appetite in September meant that returns were negative for the period overall. While certain of Ashmore's strategies underperformed, as is typical in such a market environment, equity and investment grade strategies outperformed. Relative performance over one, three and five years remains broadly consistent with the position in June.

Mark Coombs, Chief Executive Officer, Ashmore Group plc, commented:

"Investors have focused increasingly on the global growth outlook, including the impact of higher commodity prices, supply chain challenges and China's ongoing reforms. Meanwhile, vaccination rates are increasing and restrictions are easing across a wide range of Emerging Markets, delivering a pickup in leading indicators and a broadening of economic growth. Further, central banks in emerging countries are raising interest rates, reinforcing the attractive yields available. This positive fundamental backdrop is not reflected in current valuations, presenting an opportunity for Ashmore's active investment processes to exploit and enabling investors to benefit from increasing their allocations to Emerging Markets."

Notes

Local currency AuM includes US$12.1 billion of AuM managed in overlay/liquidity strategies (30 June 2021: US$12.3 billion).

Ashmore's Legal Entity Identifier (LEI) is 549300U3L59WB4YI2X12.

For further information please contact:

Ashmore Group plc

Paul Measday

   Investor Relations                   [phone] 

FTI Consulting

   Neil Doyle                               [phone] 
   Kit Dunford                              [phone] 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

END

TSTFLFERITLVLIL

(END) Dow Jones Newswires

October 14, 2021 02:00 ET (06:00 GMT)