It appears that the market is forward-looking, fortunately ;-) |
Yes flows have held up very well in the circumstances, although of course these figures are from just before the recent market rout. EPS now forecast to drop to 33p for 2026 which would put POLR on 11 times earnings. POLR have been somewhat reliant on performance fees in recent years - not sure how sustainable these are in the face of ultra low cost trackers. |
31st March was just before the markets really went down the pan.
So expect we’re around £20bn AuM, which is still ok, and should sustain the div. |
AuM has held up very well i must admit and I have added some this morning, hopefully a recovery above 400p on the cards if Trump continues to back track |
POLR trades just below its peer group median PER of 9.2 in this fund sector. With a strong balance sheet and a yield of 12.5% (at the current shareprice of 366p) it has the potential to re-rate over time when markets finally settle from the current uncertainties that exist. |
 Markets hit AUM in Q4 of FY25, but net flows hold up
AUM fell by £2.4bn (10%) in Q4 of FY25 (to 31 Mar 25), from £23.8bn to £21.4bn. Market movements, investment performance and currency fluctuations accounted for nearly all of the decline (£2.3bn). This was unsurprising considering the heavy falls in technology sector stocks (Dow Jones Global Technology Index: -11%), and Polar’s reporting currency, GBP, strengthening 3% over the US$, depressing the £-value of US$-denominated assets.
Pleasingly though, net flows were only marginally negative in Q4 (-£89m), an improvement over Q3 (-£260m). This is impressive given the decline in markets and investor sentiment, particularly in the technology space. Over the 12 months of FY25, AUM was down 2% with investment performance of -£495m, net flows of +£123m, and fund closures of -£111m.
Our FY26 forecasts and beyond are reduced due to: 1) a lower starting AUM level; 2) market uncertainty leading us to reduce our net flow assumptions for FY26 (to flat) and FY27 (to £0.5bn).
Our fundamental valuation reduces from 650p to 550p, but is >50% above the current share price.
Read our research note: |
Not an ideal time to report given the tariff clown show in the US.
The annual figure smooths the bump and more relevant IMV.
POLR have a good adaptive business model and excellent management and marketing. The yield is among the best available; a solid hold IMV. |
AuM Update
Polar Capital reports that as at 31 March 2025 its AuM was £21.4bn compared to £21.9bn at the end of March 2024, a decrease of 2% over the year. During the financial year, we saw net inflows of £0.5bn into the open-ended fund range offset by outflows from segregated mandates and Investment Trust share buy-backs totalling £0.4bn. Including fund closures, net flows were flat and AuM was reduced by £0.5bn arising from market movement and fund performance.
Gavin Rochussen, Chief Executive, commented: "Given significant industry wide net outflows from active equity managers over the period, it is notable that Polar Capital achieved net inflows into its open-ended fund range of £495m (excluding fund closures) and net inflows across all investment offerings of £123m in the year to 31 March 2025. The start of calendar year 2025 has been difficult for global equity markets with increased volatility and uncertainty introduced by the possibility of a tariff induced global trade war. With investors selling out of risk assets, it is no surprise that during the quarter total AuM decreased by £2.4bn from £23.8bn at the end of December 2024 to £21.4bn at end of March 2025, a 10% decrease, of which net outflows were £0.1bn and market movements and performance made up the remainder. Over the course of the financial year, a combination of net outflows and fund closures was offset by market and fund performance resulting in our AuM decreasing by 2% to £21.4bn from £21.9bn at the end of March 2024.
During the quarter, we had net inflows of £398m from a range of funds including the Global Absolute Return, International Small Company, Emerging Market Stars, Healthcare Blue chip, Biotechnology, and Artificial Intelligence Funds. During the quarter, the open-ended Technology Fund saw net outflows of £200m compared to £123m of net outflows in the previous quarter. The International Small Company Fund, our third US-domiciled mutual fund, which was launched at the end of September 2024, and during a volatile six months for listed equities, has now reached US$90m in assets, and is closing in on the important first milestone of US$100m. As global equity markets broaden out, we believe there will be increasing demand by US investors for international equities which bodes well for the franchise. While volatile equity markets may impact AuM levels and profitability in the near term, we remain confident that with our diverse range of specialist active fund strategies, we are well-positioned to perform for our clients and shareholders over the long term."
Polar Capital plans to announce its results for the financial year to 31 March 2025 on 30 June 2025. |
IG
Weekend US Tech 100
.NDX
19273.2
+575.5(+3.08%) |
Should be a decent bounce in tech stocks which hopefully will be reflected here. |
LOL - obviously an Apple fell on his head and he became disorientated ! Yet another example of Trump's 'Art of the Cartwheel'. He hasn't got a clue ! NDX up 400 pts in the weekend futures market.
Smartphones and computers are now exempt from Trump’s latest tariffs
Auzinea Bacon, CNN
Sat April 12, 2025
Electronics imported to the United States will be exempt from President Donald Trump’s reciprocal tariffs, according to a US Customs and Border Protection notice posted late Friday. Smartphones, computer monitors and various electronic parts are among the exempted products. The exemption applies to products entering the United States or removed from warehouses as early as April 5, according to the notice.
Roughly 90% of Apple’s iPhone production and assembly is based in China, according to Wedbush Securities’ estimates. Counterpoint Research, a firm that monitors global smartphone shipments, estimated Apple has up to six weeks of inventory in the United States. Once that supply runs out, prices would have been expected to go up. Economists have warned the cost of tariffs may ultimately be passed on to the consumer. Semiconductors and microchips are among the products heavily outsourced to factories in Asia due to lower costs. Those electronic parts are now exempt, according to the Friday notice. That could help Asian chipmakers, such as Taiwan Semiconductor Manufacturing Company (TSMC), South Korea’s Samsung and SK Hynix. |
davethehorse, perhaps focus on something you do own, like the dreadful PMI. |
Sentiment goes in cycles. AUM lost to gold, cash and bonds will return once the orange guy shuts up and markets turn.
The presence doom mongers on Bbs I’m visiting suggests a turn may be close, but with a clown show running the US economy, WTFDIK. |
Certainly won't.....intra day bubble busting now.. |
Latest factsheet shows significant fall in the AUM of the global technology fund - a lot of this will be market falls, but looked like further outflows too. This was as at 31 March, so likely to have fallen more since then. This is by far their biggest fund so next AUM update not likely to be pretty. |
Your still in a deep mire guys regardless of the bounce??? |
davetheplonker. |
Dave- if you have nothing insightful to say, don’t bother. |
Sub 300p tomorrow! |
390p....and further to fall....imo |
Pretax - If we see a major correction in US tech stocks, where POLR is heavily concentrated, then that 11% yield won't be sustained beyond a couple of years. If you want a high yield there are safer options. |
Dow down 1,200 points...its going sub 400p imo |
PJ - “reason being?”
Davethehorse wants a cheap cash machine, and with an 11% yield, that’s exactly what it is. Since that’s the highest yield in my PF I’m channelling all dividends into this one. |
Reasoning being? |
Sub 400p coming here imo.. |
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