The world’s largest publicly traded hedge fund manager Man Group has seen funds under management rise by 7 per cent in the first half of this year as inflows rocketed by 91 per cent, but the firm remains “cautious” about the outlook for markets in second half of 2014.
Gross sales at the group rose by 91 per cent to reach $12.5bn (£7.4bn) over the six months to June 2014, with net inflows totalling $2.8bn (£1.6bn) compared to net outflows of $5bn (£2.9bn) recorded over the same period a year previous.
Total redemptions at Man Group fell by 17 per cent to reach $9.6bn (£5.7bn), down from $11.5bn (£6.8bn) in the first half of 2013.
The boost in sales at the group has seen funds under management increase by 7 per cent to $57.7bn (£34.3bn) compared to $54.1bn (£32.2bn) in the first six months of last year.
The firm also saw profit before tax rise 10 per cent to total $128m (£76.1m) over the period up from $134m (£79.6m) in 2013.
Man Group announced two acquisitions of US-based quant manager Numeric and US fund of funds credit management firm Pine Grove back in June, with the group expecting the former to be completed in the third quarter of this year while the latter is “due to complete shortly.”
However going forward Man Group chief executive officer Manny Roman is taking a more cautious outlook for the second half of 2014. He says: “Whilst it has been a positive first half for the firm and we recorded another quarter of net inflows in Q2, we remain cautious as we look to the second half of the year.
“Investment performance in H1 was mixed amid a continued volatile market environment.”
Roman draws particular attention to the group’s equity and macro business where performance was “below expectations” in the first half of 2014. Elsewhere