Beverly Chandler, Opalesque London: The Man Group
Annual Report for 2012 shows a further decline in profitability for the group due to a 43% drop in high
margin guaranteed product FUM and $7.3bn of net outflows. Other highlights include:
Funds under management with the group stood at $57bn at end December 2012, down 2% year on year. The
decrease comprises: net outflows of $7.3bn de-gearing
and other movements of $3.4bn, negative FX of
$0.3bn, partly offset by acquired FRM FUM of $8.3bn
and positive investment performance of $1.3bn.
- $979 million goodwill impairment leads to a statutory loss
- Significant progress made in reshaping the business
- Acquisition of FRM completed in July and integration into
the Multi-Manager business now complete
- $95 million of operating cost savings announced in January
2012 delivered and on track to deliver further annual cost
savings of $100 million by the end of 2013
- Improvement in capital and liquidity through sale of assets in
the Lehman estates and positive operating cash flow.
Sales stood at $12.8bn, split between $9.0bn alternatives and $3.8bn long only. Net
outflows of $7.3bn in total, with net outflows of $6.8bn
out of alternatives and $0.5bn out of long only. Sales
were $16.7bn for the prior nine month period.
Gross revenue comprised $1,209m of management
fees and $90m of performance fees. Revenue was
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