Liontrust nears £1 billion of outflows

Liontrust Asset Management has seen net outflows of close to £1 billion from its fund range in the last six months, according to the group’s half-yearly trading statement released today.

For the reporting period April 1 to September 22, net redemptions from the retail and offshore range totalled £103m, while the group’s institutional funds saw £821m of redemptions. The total net outflow across all products was £924m.

Liontrust’s total funds under management are £1.279 billion, with the majority of this, £944m, in Gary West and James Inglis-Jones’ Cashflow Solution investment process. This includes Liontrust Continental Europe, European Absolute Return, First Income, and First Large Cap.

A further £246m is invested in the Economic Advantage process, including Liontrust First Growth, First Opportunities, and the Intellectual Capital Trust, run by Anthony Cross and Julian Fosh.

The fixed income suite of products has £36m under management, while indexed funds have £53m.

Nigel Legge, the chief executive, said in a statement to the stock exchange that Liontrust has begun to stabilise after its most challenging six months since it was established in 1995.

“Net fund outflows slowed substantially in the second half of the [reporting] period,” Legge said.

“We are adding Ross Hollyman and his team to our existing fund management capability, and we successfully launched the Liontrust European Absolute Return Fund in July, for which we have raised nearly £20 million in assets so far.

“Liontrust has also benefited from earning some healthy performance fees during the period,” he added.

The group has several new product launches planned, including regional and global funds for Hollyman, and a Ucits III version of the Credit Fund.

Liontrust’s second-half results will be released on November 25.

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