Investors placed US$3.3 billion (€2.9 billion) into funds of Ashmore Group, a specialist emerging markets asset manager based in London, in the second quarter of the year.
The flows were predominantly to bond funds and represented a continuation of “healthy” client activity, the firm said.
Ashmore’s assets under management (AUM) increased by $6.5 billion to $91.8 billion during the quarter, driven partly by the net inflows and also by positive returns of $3.2 billion.
Existing institutional clients increased their allocations across various strategies and inflows also reflected continuing demand from retail clients, mainly for corporate debt and local currency products.
Equities saw a “small net outflow”.
Mark Coombs, chief executive of the firm, said emerging markets delivered good returns against a backdrop of improving global market conditions, with US/China trade tensions easing, central banks in Europe and the US turning more dovish and the US dollar weakening.
“The outlook for emerging markets remains positive, with supportive economic fundamentals, attractive valuations in fixed income and equities, limited opportunities in developed markets and a clear opportunity to continue raising investor allocations to higher, more representative levels,” Coombs said.
Ashmore AUM has increased by 24% over the past year through net inflows of $10.7 billion and positive performance of $6.9 billion.
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