Fri, Aug 1, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

GLG revenues fall with performance, AUM down 3%

Monday, August 09, 2010
Opalesque Industry Update - GLG Highlights of 2Q2010:

- First half 2010 dollar-weighted average returns(1) of 3.8% for the alternative strategies, 2.1% for the 130/30 strategies and (4.2%) for the long only strategies, versus MSCI World Index return of (7.1%) and S&P 500 Index return of (6.9%) for the same period

- Net inflows of approximately $1.5 billion and $2.5 billion for Q2 2010 and the six months ended June 30, 2010, respectively

- Previously announced agreement to merge with Man Group plc - on track to close near the end of the third quarter 2010

- Non-GAAP adjusted net loss of $3.0 million, or $0.01 per non-GAAP weighted average fully diluted share, for Q2 2010 - reflects $12.0 million, or $0.04 per non-GAAP weighted average fully diluted share(2), of expenses related to the proposed merger with Man Group plc

GAAP net loss attributable to common stockholders of $74.6 million, or $0.32 per fully diluted share, for Q2 2010

GLG Partners, Inc. (NYSE: GLG) reported a GAAP net loss attributable to common stockholders for the quarter ended June 30, 2010 of $74.6 million, or $0.32 per fully diluted share. Non-GAAP adjusted net loss was $3.0 million, or $0.01 per non-GAAP weighted average fully diluted share, for the three months ended June 30, 2010, inclusive of $12.0 million, or $0.04 per non-GAAP weighted average fully diluted share(2), of expenses related to the proposed merger with Man Group plc.

"We continued to deliver for our investing clients in the first half of 2010 with our alternative strategies up 3.8% and many of our long only strategies well ahead of the leading market benchmarks," said Noam Gottesman, GLG Chairman and Co-Chief Executive. "Given our strong track record and platform, we are well positioned to benefit as the capital allocation cycle gains momentum. Our net AUM inflows have risen each quarter over the past year, culminating in net inflows of $1.0 billion in Q1 2010 and $1.5 billion in Q2 2010."

"It is our industry leading investment team and our established track record of delivering long-term performance across our broad platform of investment products which allows us to continue to attract investors," added Emmanuel Roman, Co-CEO of GLG. "Looking ahead, we expect to be positioned strongly with increased scale, broader distribution and an unwavering focus on investment performance for our clients."

Assets under Management Summary
GLG's total net assets under management ("AUM") as of June 30, 2010 were approximately $23.0 billion (net of assets invested from other GLG managed funds), down 3.0% from March 31, 2010, up 3.5% from December 31, 2009, and up 20.2% from June 30, 2009.

Positive net inflows of approximately $1.5 billion for the three months ended June 30, 2010 ($0.5 billion of which came from alternative strategies and $1.0 billion of which came from long only strategies) were offset by performance driven reductions in AUM during a period in which broad stock market indices such as the MSCI World and S&P 500 registered declines of 11.2% and 11.6%, respectively. The effect of currency translation related to the decline of the Euro and British Pound Sterling relative to the U.S. Dollar decreased net AUM by $725 million in the quarter ended June 30, 2010.

Positive net inflows of approximately $2.5 billion for the six months ended June 30, 2010 ($1.3 billion of which came from alternative strategies and $1.2 billion of which came from long only strategies) were partially offset by the effect of currency translation which decreased net AUM by roughly $1.5 billion in the first half of 2010. Performance reduced net AUM by approximately $0.2 billion for the six months ended June 30, 2010, a period in which broad stock market indices such as the MSCI World and S&P 500 registered declines of 7.1% and 6.9%, respectively.

GLG's total gross AUM (including assets invested from other GLG managed funds) was $24.9 billion as of June 30, 2010, down 3.6% from March 31, 2010, up 2.2% from December 31, 2009, and up 15.5% from June 30, 2009.

Source

kb

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing
  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: Kyria Capital Management bets on women hedge fund managers[more]

    Bailey McCann, Opalesque New York: As hedge fund assets top $3 trillion, and long/short strategies get more crowded than ever, with every manager hunting for even the tiniest bit of alpha, a new firm has emerged that claims its own edge – women. A recent Rothstein Kass study showed women-owned a

  2. Hedge fund manager Winton Capital making headway with long-only strategy[more]

    From PIonline.com: North American investors are helping Winton Capital Management Ltd. make progress — albeit slowly — toward its founder's goal of becoming a $100 billion company. The firm's ticket to quadrupling its assets under management is unlikely to be one of its scientifically designed manag

  3. Opalesque Roundtable: Success in hedge fund marketing not linked to performance, but investor appetite[more]

    Komfie Manalo, Opalesque Asia: Success in marketing a fund is not linked to the performance, but to investor appetite, to the way you can market the fund, and to how much time you can spend to raise assets, said Antoine Rolland, the CEO of incubator and seeding firm

  4. Opalesque Radio: Now is a good time to buy protection cheaply in the options market[more]

    Benedicte Gravrand, Opalesque Geneva: Investors are showing an increased interest in risk parity funds and strategies, Opalesque reported last year. Risk parity strategies have the

  5. The Big Picture: Charlemagne Capital smoothes risk out of frontier market investing with portfolio approach[more]

    Benedicte Gravrand, Opalesque Geneva: Opalesque recently talked to one of the portfolio managers of the Oaks funds, which are emerging and frontier market hedge funds focusing on equity long/short with a directional approach. They are run by